By Eric Peters, CIO of One River Asset Management
“Doing too little could allow above-target inflation to become entrenched and ultimately require monetary policy to wring more persistent inflation from the economy at a high cost to employment,” said Jerome Powell, in a speech to the Economic Club of New York, the ghost of Arthur Burns sitting on his left shoulder, whispering in his ear.
“Doing too much could also do unnecessary harm to the economy,” continued the Fed Chairman, his audience looking for even the slightest signal as to where he’s headed next.
