Boston Fed President Collins advocates holding rates steady, sees 'high bar' for further cuts

It is a pleasure to join you today for the Boston Fed’s 24th annual Regional and Community Bankers Conference. I want to thank all of you for attending, and for the constructive engagement that you have with the Federal Reserve. The “North Star” for us at the Boston Fed is a vibrant economy that works for everyone. That requires a resilient financial and banking system. The Federal Reserve supports that in a number of ways – and constructive engagement, with banks and many other stakeholders, is a key ingredient. I believe it is essential for us at the Federal Reserve to listen well to the stakeholders in all of our work, and to explain well our policy decisions. So, I’ll share my perspectives on the economy and monetary policy. I’ll then shift to describing some of the trends in community banking that we at the Fed are following. And I’ll comment briefly on innovation in finance and payments. First let me note, as always, that these remarks today are my own views; I am not speaking for any of my colleagues at the other Federal Reserve Banks or the Board of Governors. *COLLINS: ADDITIONAL SUPPORT RISKS STALLING INFLATION PROGRESS *COLLINS: SEE RELATIVELY HIGH BAR FOR FURTHER EASING NEAR TERM *FED'S COLLINS FAVORS HOLDING RATES STEADY 'FOR SOME TIME' - Fed's Collins warns that additional monetary support may hinder inflation's return to 2% - Current Fed policy is mildly restrictive; financial conditions support growth - Anticipates modest unemployment rise, with tariffs keeping inflation high into early 2026 - No…

Dr. Raphael W. Bostic, president and chief executive officer of the Federal Reserve Bank of Atlanta, today announced his intention to retire at the end of his current term, which officially concludes on February 28, 2026. President Bostic has served with distinction since June 5, 2017, as the 15th president and chief executive officer of the Atlanta Fed. He is the first African American and openly gay president of a regional Federal Reserve Bank in its 111-year history. "It's been my distinct honor and privilege to lead the Atlanta Fed for these past eight and a half years. I feel incredibly fortunate to have worked with the Atlanta Fed's outstanding staff to fulfill the Federal Reserve's mission and serve the Sixth District and the American people," Bostic said while reflecting on his term as president. "I'm proud of what we accomplished during my tenure to turn the lofty goal of an economy that works for everyone into more of a reality, and I look forward to discovering new ways to advance that bold vision in my next chapter." In his role, President Bostic is responsible for overseeing all of the Bank's activities, including monetary policy, bank supervision, and payment services. He serves on the Federal Open Market Committee, the monetary policymaking body of the Federal Reserve System. "It has been a privilege to serve alongside President Bostic," Federal Reserve Board Chair Jerome H. Powell said. "His perspective has enriched the Federal Open Market Committee's understanding of our dynamic economy. And his steady voice has exemplified the best of public service—grounded in analysis, informed by experience, and guided by purpose. His leadership has strengthened our institution and advanced the Federal Reserve's mission." The Federal Reserve Bank of Atlanta's board of directors will form a search committee comprised of non-banking members of the Atlanta Fed's board of directors to conduct a nationwide search for the next president of the Federal Reserve Bank of Atlanta, consistent wi Atlanta Fed: Fed's Bostic to retire on February 28th, 2026, at the end of his current five-year term. The Atlanta Fed will form a search committee for Fed's Bostic's successor.

Fear that the Federal Reserve will lose its independence has been a significant factor behind gold’s rally to record highs, and according to one market strategist, it could lead to the next $500 move. The U.S. Supreme Court said on Wednesday that it would hear oral arguments on Jan. 21 regarding whether President Donald Trump has the authority to fire ...