IMF: Fed should defer further interest rate hikes until there are greater signs of wage or price inflation

In a recently published report, the International Monetary Fund staff on Thursday advised the Fed to refrain from hiking interest rates until there are greater signs of wage or price inflation.

Key takeaways (via Reuters)

• IMF raises U.S. economic growth forecast for 2019 to 2.6% from 2.3%.
• Deepening of ongoing trade disputes or abrupt reversal of 'recent ebullient' financial conditions pose material risks to U.S. economy.
• It is especially important trade tensions between U.S. and China are quickly resolved.
• Medium-term risks to financial stability are rising; abrupt reversal of financial accommodation could hit U.S. economy.
• Fed should consider publishing quarterly report with central economic scenario endorsed by Federal Open Market Committee.