Fed's Paulson (2026 Voter) says modest cuts are likely appropriate later this year if forecasts are met
Importance
Level 1
- Inflation should be around 2% run rate by end of year.
- Monetary Policy is a "little restrictive" right now.
- Baseline economic outlook is ‘pretty benign’
- Cautiously optimistic on inflation moving back to target.
- Is seeking greater clarity on what’s driving job market in 2026.
- US likely to grow around 2% this year.
- Expects inflation to moderate and job market to stabilize in 2026.
- Job market is bending but not breaking right now.
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