More from Fed's Clarida
Clarida is Vice Chair of the Federal Reserve System.
He spoke earlier on Wednesday, and is still going, more:
Earlier in the week we got, once again, remarks from various Fed officials on tapering QE sometime this year. Clarida addresses in his remarks above when to expect a rate hike - says after a year of 2% inflation. That is not on the foreseeable horizon right now.
- says we are not going to hike until we actually get inflation to 2%
- asset purchases are an important part of Fed strategy
- we are not going to lift off until we get to 2% inflation for a year and labor market conditions have reached levels consistent with the FOMC's assessment of maximum employment
- when it comes time to raise rates, we won't have far or long to go until we reach neutral