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Federal Reserve Board of Governors member Bowman: Supports three rate cuts this year; it is appropriate to ignore temporarily high inflation.
According to a report by Jinse Finance, regarding inflation, Federal Reserve Board of Governors member Bowman stated that core personal consumption expenditure inflation seems to be moving towards a target closer to 2% than the data suggests. He believes that it is appropriate to ignore temporarily high inflation. The risks of rising inflation have decreased, and there is more confidence that tariffs will not lead to persistent inflation. Bowman stated that the sharp slowdown in job growth may be due to a significant weakening in labor demand. Bowman indicated that deregulation, tax cuts, and an environment conducive to business development could offset the impact of tariff-related factors on economic activity and prices. Additionally, he supports three rate cuts this year.