Comments from the Chicago Fed President:

  • Expects unemployment at 4.5% a year end "still a long way to go"
  • Expects 7% GDP growth this year and 3% next

On growth forecasts, economists are beginning to shift some of this year's growth to 2022 as bottlenecks persist. The current thinking is more like 6% this year and 4% next year.


  • It will take more than just a couple of months to sort out the timing on the taper
  • Tapering too early could undercut Fed objectives
  • Expects to see substantial further progress later this year
  • Still nervous that low interest rate environment of last many years means that it will be tough to meet inflation objective