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Fed's Bostic warns inflation fight continues

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Atlanta Fed President Raphael Bostic declared the inflation battle unfinished, urging the central bank to keep monetary policy restrictive. Speaking in Atlanta, he cautioned that prices remain well above the 2% target. Bostic, who will retire early this year, expressed worry about economic acceleration ahead.

He fears Trump administration tax and fiscal policies could fuel stronger growth through 2026, driving fresh demand and price pressures. While calling the economy "remarkably resilient," Bostic argued against a passive stance. He warned that current conditions require vigilance rather than complacency from policymakers.

Bostic also noted forecasting remains difficult and complete Fed consensus is unlikely on every move. His comments signal internal debate will continue as officials balance growth against price stability. Markets will watch for signals on rate cuts, though Bostic's stance suggests patience remains the base case.