- Current policies are appropriate, ‘as good as we can do’ for now
- Success of QE3 so far is not a reason to do less
- Could taper purchases if we see very strong jobs growth
- Want to ensure any reduction in bond buying is not perceived as premature
- Sees unemployment near 7% by end of 2014
- Low rates could continue until unemployment falls below 6% if inflation still below target
- If inflation is above 2% when joblessness reaches 6.5%, expect rate hike before long
Refreshingly frank comments but nothing to move the needle in the market.
