Oct
18
Running Hot Doesn’t Mean Central Banks Going Cold on Mandates
By-
Yellen says ‘high-pressure’ economy may heal recession scars
-
No broad ‘regime change’ expected for inflation targets
Listen to U.S. Federal Reserve Chair Janet Yellen or Bank of England Governor Mark Carney these days and you might conclude central bankers are rethinking their inflation targets. Not quite.
Take Yellen. Having mused on Friday that a “high-pressure economy” might help heal the harm done by the recession, bond yields rose as investors bet that rising inflation may be less important to the Fed than boosting the labor market…
Running Hot Doesn’t Mean Central Banks Going Cold on Mandates
