Fed's Miran: Prices are "once again stable" and policy should reflect that

Fed's Miran emphasizes the need for policy to reflect current price stability, stating that prices are 'once again stable'. He does not think that the recent rise in goods inflation is primarily due to tariffs, acknowledging a lack of full explanation. He suggests that goods inflation might settle at a higher level than pre-pandemic averages, offset by housing disinflation. Core PCE inflation, excluding housing and non-market items, may be below 2.3%, which is close to Fed's 2% target. His views raise discussions about the appropriateness of dissenting on a 50 basis points rate hike. Overall, the market sentiments around the Fed's next moves appear neutral.