Fed's Kaplan: Sluggish growth expected in next months

Dallas Federal Reserve President Robert Kaplan said on Thursday that the next two-three months will be challenging and added that he expects to see sluggish growth during that period, as reported by Reuters.

Kaplan further noted that his forecast is for a 5% growth in GDP in 2021 but acknowledged that there are big downside risks related to coronavirus infections.

Market reaction

These comments don't seem to be having a significant impact on market sentiment. As of writing, the S&P 500 Index was up 0.82% on a daily basis at 3,861.