The Fed will be closely monitoring a host of inflation measures, Federal Reserve Governor Lael Brainard said on Tuesday, as reported by Reuters.
Additional takeaways
“Demand is coming back much quicker than supply in some areas.”
“Inflation dynamics don’t change rapidly.”
“If inflation persistently, immoderately above target, would not hesitate to use Fed’s tools to gently guide it back down.”
“We may see some permanently different working patterns and housing too as a result.”
“Some transitory pressures in the housing market will be alleviated over time.”
“US economic recovery to be relatively strong compared to trading partners.”
“There is much less scarring than had initially been worried about.”
“Asset prices are elevated, can’t hold back that support just because the stock market is rising.”
Market reaction
The US Dollar Index showed no immediate reaction to these remarks and was last seen losing 0.21% on the day at 90.09.
Share
