US Fed's Bostic: "Soft Landing Not Easy... Unemployment Will Occur"

[Asia Economy New York=Special Correspondent Joselgina] Raphael Bostic, President of the Atlanta Federal Reserve Bank, stated on the 25th (local time) that a soft landing for the U.S. economy will not be easy. Due to the high-intensity interest rate hikes aimed at lowering inflation, an increase in unemployment and an economic slowdown are inevitable.

According to Bloomberg News and others, President Bostic appeared on CBS's Face the Nation on the same day and, when asked about the possibility of a soft landing for the U.S. economy, said, "It will be difficult. It will not be easy." He mentioned, "Some unemployment may occur."

President Bostic emphasized, "The Federal Reserve (Fed) will do everything it can to avoid deep pain."

He also said, "Jobs are still being created in large numbers on a monthly basis," and predicted, "I believe the economy has the ability to accept our measures (tightening) and slow down relatively orderly."

President Bostic does not have voting rights at this year's Federal Open Market Committee (FOMC). Recently, the Fed reaffirmed its strong commitment to achieving the 2% inflation target and decided on a third consecutive giant step (a 0.75 percentage point increase in the benchmark interest rate).