Fed’s Quarles: Gradual rate hike strategy ‘still appropriate’

Below are some key takeaways from the speech delivered by  Randal Quarles, Federal Reserve board member and Vice Chair for Supervision, at the Economic Club of New York Luncheon, New York, New York.

• Economic conditions are as close to meeting the Federal Reserve’s dual mandate for monetary policy as they have been in a long time.  
• Cannot rely solely on inflation to gauge state of economy.
• Gradual rate hike strategy ‘still appropriate’.
• The more the economy’s potential growth increases, the more gradual we can be in our removal of monetary policy accommodation.  
• Reasons for optimism for higher potential growth rate.