Fed’s Rosengren Sees Way for Strong Recovery in 2021

President of the Federal Reserve Bank of Boston, Eric Rosengren, said on Monday that the United States economy could recover strongly this year due to the Fed’s policies and the increased government stimulus.

“With labor-market slack still significant, and inflation still below the Federal Reserve’s 2% target, my perspective is that the current highly accommodative stance of monetary policy is appropriate.

“During the economic recovery, policymakers should be diligent about removing these risks to financial stability.”

“Assuming virus variants do not become especially problematic, we should see an unusually strong post-recession recovery.”

Rosengren affirmed that monetary policymakers will be patient in dealing with inflation rates but should pay attention to risks in financial markets.