Lacker on the evolving inflation process

In the speech 'Understanding the evolving inflation process' given on 9 March Jeffrey Lacker of the Federal Reserve Bank of Richmond said that U.S. inflation expectations may not be anchored enough to promote price stability.

Noting that market participants place some probability on core inflation remaining near current levels of 2.25 percent rather than moderating to 1.5 percent, Lacker said: "In that sense, one might question whether inflation expectations are anchored closely enough to the

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