Boston Fed President Sees Resilience Amid Economic Shocks

Boston Federal Reserve president Susan Collins recently visited Dover businesses to gather insights on the state of the US economy. During her visit, she discussed various challenges faced by companies, including housing and affordability issues.

Collins noted that while some firms are experiencing increased costs due to tariffs, others see an opportunity for innovation and collaboration as a result of the trade tensions. She also mentioned that people are feeling uncertain about transportation and energy prices amid the conflict in Iran.

The Boston Federal Reserve president described this period as unusual, citing the combination of shocks from tariffs, high energy prices, and the focus on artificial intelligence following the Covid-19 pandemic. However, she emphasized the resilience of the economy, highlighting a relatively stable labor market and persistently high inflation that has lasted for over five years.