“If you’re the decision making person/committee of any central bank other than the Fed, you must be looking with at least some degree of envy at the set of circumstances confronting the US Federal Open Market Committee (FOMC).
Right now US GDP growth is stronger than its non-inflationary potential, the unemployment rate is below NAIRU (non-accelerating inflation rate of unemployment), forward-looking indicators suggest the labour market will tighten further, wages are trending higher and the annual rate of core inflation is at its highest level in a decade and trending up …”