JACKSONVILLE, Fla. (Reuters) – Risings rates of interest on house mortgages, U.S. Treasury bonds and other crucial kinds of credit reveal the Federal Reserve stays reliable in its promise to tame inflation, Atlanta Fed President Raphael Bostic stated on Wednesday.
” We moved our policy rate 25 basis points and the thirty years (home mortgage) moved 2 portion points. That is incredible responsiveness,” Bostic stated in remarks to the World Affairs Council of Jacksonville.
” The relocations that we have actually seen in rates and in yields are an indication that the marketplaces still think the Fed has reliability. They have stated what we are going to do and they have actually priced in us doing them … That is an essential measurement in the market.”
( Reporting by Howard Schneider; Modifying by Chris Reese)
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