Fed’s Bowman: US economic growth may be faster than Fed’s March projection

The economic growth in the US may be faster than what the FOMC policymakers projected in March, Fed Governor Michelle Bowman said on Wednesday, as reported by Reuters.

Additional takeaways

“Unemployment rate by year’s end may be below the current Fed median projection of 4.5%.”

“Still seeing a small risk of persistent inflation outbreak despite increases anticipated this year.”

“Expecting unusually strong job growth through the summer.”

“Coronavirus risks and associated restrictions expected to continue to ease, though risks remain.”

“Expecting US labor force participation to rebound as schools and child-care reopen and expand hours.”

Market reaction

The US Dollar Index clings to modest daily gains above 91.30 after these remarks.

FX

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