Fed Governor Milan: Government Shutdown Distorted December CPI, Recent Data Support Dovish Stance

Federal Reserve Governor Milan said on Dec. 22 that last week's inflation data were skewed by a government shutdown, which distorted the housing inflation index and gave CPI a significant upward bias this year, BlockBeats reports. Milan said recent readings should steer views toward a dovish stance, adding that without policy adjustments, recession risk would rise. Milan said the Fed expects to eventually lower the policy rate.