Fed's Lael Brainard speaking

She says:

  • there is a risk inflation expectations of slipped
  • policy may have to stay accommodative to get to 2% inflation
  • countercyclical capital buffer good for imbalances
  • proposes yield Says tools if rates at lower bound
  • nonmonetary tools needed to temper financial cycle
  • lower bound may constrain policy rate more frequently
  • robust countercyclical fiscal policy is vital
  • rate caps would transmit additional accommodation
  • yield curve caps would augment credibility
  • she prefers flexible inflation averaging to achieve Fed's 2% inflation goal