Live Updates > Live Update Details
2026-05-29 20:57:59
[Fed's Bowman: Inflation Progress Has Stagnated; Prolonged Energy Shock Will Pressure Prices] ⑴ Federal Reserve Governor Bowman stated that progress in reducing inflation has stalled. She would consider changing the policy outlook if war-driven inflation expands, noting that the longer the Middle East wars last, the greater the risk to inflation. ⑵ Bowman pointed out that the Fed can foresee the energy shock, provided monetary policy remains credible. However, if the energy shock prolongs, it will put pressure on inflation later this year, and responding to a temporary energy shock could drag down the economy. ⑶ She believes it is too early to judge the economic impact of the Middle East wars and hopes to obtain more definitive information about the wars' effects. She is optimistic that the end of the wars will lead to a decline in energy prices. ⑷ Bowman stated that the Fed's current "moderately restrictive" policy aims to help employment and reduce inflation. The US economy remains resilient despite the fragility of the labor market, and the Fed's accommodative stance in its April 29 policy statement was appropriate.
