The Federal Reserve's Kashkari: It is too early to judge the impact of the new government on the economy and Intrerest Rate

The Jinse Finance reported that Kashkari, of the Federal Reserve, said that as the Fed makes progress in controlling inflation, the US economy remains very strong, but the Fed ‘has not yet walked the road’. Trump’s promise to expel illegal immigrants on a large scale has raised questions about the potential impact on the US economy and labor market. Kashkari said that expelling immigrants could cause ‘damage’ to some US companies, and it is still unclear how the outflow of immigrant labor will affect inflation. It is still too early to judge how the potential policies of the new government and Congress will affect the economy and the Intrerest Rate trajectory. ‘There is a lot of uncertainty about what the actual policy is, what Congress will pass, and how it will be implemented. We have to wait and see what actions other government departments decide to take before we analyze what this means for the economy.’