NightFox
Wildling
Powell says Fed 'will be patient' with monetary policy as it watches how economy performs
"Federal Reserve Chairman Jerome Powell pledged that the central bank will be watching how the economy performs this year and will adjust policy should growth slow unexpectedly.
Powell along with his immediate predecessors, Janet Yellen and Ben Bernanke, spoke Friday at the American Economic Association's annual meeting in Atlanta.
"As always, there is no preset path for policy," Powell said. "And particularly with muted inflation readings that we've seen coming in, we will be patient as we watch to see how the economy evolves."
Powell says Fed 'wouldn't hesitate' to tweak balance sheet reduction if it was causing problems
"Federal Reserve Chairman Jerome Powell said Friday that the central bank "wouldn't hesitate" to adjust how quickly it lets its balance sheet shrink if it starts to cause problems in financial markets.
"We don't believe that our issuance is an important part of the story of the market turbulence that began in the fourth quarter of last year. But, I'll say again, if we reached a different conclusion, we wouldn't hesitate to make a change," he said. "If we came to the view that the balance sheet normalization plan — or any other aspect of normalization — was part of the problem, we wouldn't hesitate to make a change."
Well there it is, the FOMC hasn't used it yet nor have they explicitly said they will use it BUT
They just pulled the FED PUT down from the shelf and dusted it off.
Should be interesting to see what develops from here.
"Federal Reserve Chairman Jerome Powell pledged that the central bank will be watching how the economy performs this year and will adjust policy should growth slow unexpectedly.
Powell along with his immediate predecessors, Janet Yellen and Ben Bernanke, spoke Friday at the American Economic Association's annual meeting in Atlanta.
"As always, there is no preset path for policy," Powell said. "And particularly with muted inflation readings that we've seen coming in, we will be patient as we watch to see how the economy evolves."
Powell says Fed 'wouldn't hesitate' to tweak balance sheet reduction if it was causing problems
"Federal Reserve Chairman Jerome Powell said Friday that the central bank "wouldn't hesitate" to adjust how quickly it lets its balance sheet shrink if it starts to cause problems in financial markets.
"We don't believe that our issuance is an important part of the story of the market turbulence that began in the fourth quarter of last year. But, I'll say again, if we reached a different conclusion, we wouldn't hesitate to make a change," he said. "If we came to the view that the balance sheet normalization plan — or any other aspect of normalization — was part of the problem, we wouldn't hesitate to make a change."
Well there it is, the FOMC hasn't used it yet nor have they explicitly said they will use it BUT
They just pulled the FED PUT down from the shelf and dusted it off.
Should be interesting to see what develops from here.
