Explore what's moving the global economy in the new season of the Stephanomics podcast.
Two U.S. congressmen have asked whether Federal Reserve Chairman Jerome Powell would consider issuing a national digital currency.
Central banks unlikely to coordinate " I see no argument that makes sense to have something that complicated out there when you have large, liquid capital markets in the U.S. Not having one currency that you can basically price things and have a deep market in, that makes life much harder for the global economy".
The Labor Department report Friday showed the unemployment rate fell to 3.5 per cent last month as United States employers added 136,000 jobs, down from 168,000 jobs created in August but still plenty to keep up with labour market growth.
The American economy is still in good shape despite some risks.
Traders of rate futures were quick to judge the Fed would stay on track for at least one more interest-rate cut this year.
Investors now see a roughly 80% probability the Fed will cut rates by another quarter percentage point at its next policy meeting on October 29-30, according to an analysis of Fed funds futures contracts compiled by the CME Group.
Powell gave no clear steer on the future path of rates in his remarks, which were mostly devoted to the Fed's longer-term strategic review of its policies and practices.
As part of that examination, the central bank is holding a series of "Fed Listens" events to gather opinions from academics, community organizers, companies and others about what it should do.
Bostic's counterpart at the Boston Fed, Eric Rosengren, who opposed the central bank's two rate cuts this year, said he too was parsing the data, and had an "open mind" on policy ahead. "Doing so would help prevent inflation expectations among consumers, businesses, and investors from slipping too low, as they appear to have done in several advanced economies".
Fed officials began deliberations around any changes at their meetings in July and September and are set to announce any findings and decisions in the first half of 2020.
"We actually want inflation to be a little bit higher", he said.