Headline or core? It's not either-or says Mishkin
Both core and headline measures of inflation have an important role in monetary policy decisions, said Frederic Mishkin, a member of the board of governors at the Federal Reserve.
Speaking in Montreal on Saturday, Mishkin said: "It does make sense for central banks to emphasise headline inflation when determining the appropriate stance of monetary policy over the medium run, but policymakers also are right to emphasise core inflation when deciding how to adjust policy from meeting to meeting."
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