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Following the Federal Open Market Committee’s (FOMC) decision to keep the policy rate unchanged within the target range of 0-0.25%, Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, is delivering his comments on the policy outlook.

Key quotes

“Prefer to use macroprudential tools to deal with financial stability.”

“We would rely on macroprudential, not monetary policy, tools to deal with financial stability issues.”

“Fed will be patient, not react if we see small, transient inflation increases.”

“Inflation has averaged less than 2% for a quarter-century.”

“Very unlikely anything we see now would result in troubling inflation.”

“Should the need arise we would have tools to deal with high inflation but don’t expect it.”

“We’re not going to adopt a formula.”

About Jerome Powell (via Federalreserve.gov)

Jerome H. Powell took office as Chairman of the Board of Governors of the Federal Reserve System on February 5, 2018, for a four-year term. Mr. Powell also serves as Chairman of the Federal Open Market Committee, the System’s principal monetary policymaking body. Mr. Powell has served as a member of the Board of Governors since taking office on May 25, 2012, to fill an unexpired term. He was reappointed to the Board and sworn in on June 16, 2014, for a term ending January 31, 2028.