Fed's Philip Jefferson: Current policy well positioned, now in range close to neutral

Summary

CNBC's Steve Liesman reports on remarks from Federal Reserve Vice Chair Philip Jefferson, who said current policy is well positioned and near neutral. Jefferson sees inflation moving back to 2%, tariff effects not long-lasting, solid growth around 2%, and a labor market that is not deteriorating rapidly despite higher downside employment risks. The report contrasts Jefferson's stance with a more dovish view from Fed Governor Michelle Bowman, who suggested she would favor further rate cuts.

• Fed Vice Chair Philip Jefferson said current policy is well positioned and close to neutral.
• Jefferson expects inflation to move back toward 2% and views tariff effects as temporary.
• He forecast solid growth around 2% and said the labor market is not deteriorating rapidly.
• Jefferson conceded downside employment risks have risen but expects unemployment to hold steady this year.
• The report contrasted Jefferson's stance with Fed Governor Michelle Bowman's more dovish call for further rate cuts.
• No specific tradable security, asset, commodity, or index was named in the transcript.