Fed's 'very restrictive' policy poses risks for employment mandate, Fed's Miran says

[Senate Banking Committee Holds Nomination Hearing For Stephen Miran To Join Fed Board]

Federal Reserve Governor Stephen Miran views the central bank's current monetary policy as "very restrictive," posing material risks to the labor market, he said on Monday, according to prepared text of a speech.

Based on his analysis, "I believe the appropriate fed funds rate is in the mid-2 percent area, almost 2 percentage points lower than current policy," he said at a speech delivered at the Economic Club of New York. Note that the federal funds rate target range currently sits at 4.00%-4.25%.

His comments come in stark contrast to those of Atlanta Fed President Raphael Bostic, who said he's hesitant [https://seekingalpha.com/news/4497087-atlanta-feds-bostic-is-hesitant-on-more-rate-cuts-this-year---report] to cut rates further.

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