Kansas City Federal Reserve President Schmid says the U.S. economy is experiencing strong growth

Kansas City Federal Reserve President Jeff Schmid stated that the U.S. economy remains strong and continues to grow. Schmid said he agrees with Federal Reserve Chairman Kevin Walsh's explanation for the rise in U.S. Treasury yields, namely that the recent increase is mainly driven by capital demand stemming from artificial intelligence investments and geopolitical challenges, rather than purely by factors related to monetary policy. Schmid also believes that the Treasury Department's implementation of a government bond repurchase plan will not increase the Federal Reserve's difficulty in executing monetary policy.