IMF's Gopinath: US stimulus package may cause transitory bump in inflation

In an interview with National Public Radio on Friday, International Monetary Fund chief economist Gita Gopinath said that the US stimulus package may cause a transitory bump in inflation but added that it's not expected to last into the future.

"The US Federal Reserve has the tools to address inflation if it does not turn out to be temporary but a quick increase in interest rates could be quite disorderly," Gopinath added.

Market reaction

These comments were largely ignored by market participants. As of writing, the US Dollar Index was up 0.08% on the day at 91.93.