Fed's Rosengren: the Fed can wait for greater clarity
Fed's Rosengren: the Fed can wait for greater clarity and there's no need to hike if the economy weakens. Of importance, Rosengren is a voter and typically is one of the most hawkish on the FOMC. Policy should be "flexible and patient," he said, given the slowing in China, the potential for increased trade tensions, and heigtened volatility. There shouldn't be any particular bias toward raising or lowering rates," he added until there is more clarity on the outlook for both the U.S. and the world. While stock price declines could portend an economic slowing, he said the markets may be unduly pessimistic as monetary policy remains accommodative and the consumer is still strong. His view is that the outlook is brighter than financial market movements suggest. He expects 2019 growth to be a little above his projection of 1.8% trend.