US Economy's Resilience Amid Uncertainties

Federal Reserve Governor Adriana Kugler, speaking at the 2025 Miami Economic Forum, emphasized the resilience of the United States economy. Despite facing challenges, the economy remains on a "firm footing," with expectations of solid GDP growth in the first quarter of the year.

Policy Adjustments and Inflation Concerns

Kugler highlighted the Federal Reserve's decision to reduce the policy rate by 100 basis points through December. However, she acknowledged the slow and uneven progress on inflation, which remains elevated. The Fed official also pointed out the uncertainty surrounding the economic impacts of new policy proposals, indicating the central bank's cautious approach in monitoring these developments closely before making further decisions.