Federal Reserve's Bostic Considers Rate Cuts Amid Economic Shifts

Federal Reserve Bank of Atlanta President Raphael Bostic announced that with inflation falling and unemployment rising faster than expected, it might be time to consider rate cuts. However, he emphasized the need for confirmation from upcoming reports before making any decisions.

Federal Reserve Bank of Atlanta President Raphael Bostic on Wednesday said that with inflation having fallen faster, and the unemployment rate having risen more than he anticipated, it may be 'time to move' on rate cuts but he wants to be sure before pulling that trigger.

The Fed's upcoming Sept. 17-18 meeting is its last third-quarter meeting this year, and Bostic said he will want to see confirmation from the monthly jobs report and two inflation reports that the economy is on the trajectory he thinks it is.

'I don't want us to be in a situation where we cut, and then we have to raise rates again: that would be a very bad outcome,' he said at an event organized by the Stanford Club of Georgia and the Stanford Black Alumni Association–Atlanta.

(With inputs from agencies.)