Fed's Musalem: Still not achieving inflation target

 Alberto Musalem, President of the Federal Reserve Bank of St. Louis, expressed his support for the decision of the Federal Reserve decision-makers to maintain interest rates last week, and added that the Federal Reserve still falls short in achieving its inflation target. "The current economic situation indicates that we have not yet achieved the inflation target," Musalem said at an event in Itabena, Mississippi on Friday. He added, "We have no gaps in terms of the employment target," as the labor market is close to full employment. Musalem had previously stated last month that he expected the inflation effects related to tariffs to be evident in the summer, but it is still too early to judge whether this impact is sustainable.