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        The strength of the American job market is not an indication of inflation


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Brad, President of the Federal Reserve Bank of Saint Louis, said that the recent strength of the US employment market may not lead to price acceleration. This view is contrary to the inflation concerns of investors. Inflation doubts are now pushing down the stock market.
Employment data from last Friday showed a strong increase in employment in January and a sudden increase in salary. The US stock market has fallen sharply since the report. Investors now believe that the risk of inflation and the possibility that the Federal Reserve Board of the United States (Federal Reserve /FED) may accelerate interest rate hike increases.
But Brad says inflation is likely to remain low. In addition, he said, if inflation does not accelerate, the Fed may not be so radical in raising interest rates. Brad did not have the right to vote at the FOMC this year, but could be involved in policy discussions.
"I remind you not to understand the good news of the job market as a direct conversion to inflation." Brad said at a meeting in star ton, Kentucky. "Let's see the follow-up."
The Fed has been slowly raising interest rates since 2015, and policymakers in December hinted that they expected to raise interest rates three times this year. Investors expect to raise interest rates for the first time in 2018 in March.


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