Sees 0.6% decline in growth from the dollar rise

  • Longer term inflation expectations has remained steady.
  • Removal of "patient" does not mean the Fed will become "impatient"
  • Monetary policy will not be tight when start liftoff
  • Tightening will be a time for celebration
  • Means economy is progressing
  • Fed has tools to support decision including reverse repo operations, and interest rate on excess reserves
  • Expects path of rate rise to be shallow
  • How fast the policy moves is dependent on reaction on economy
  • Long run nominal Fed funds rate would move toward 3.5%, but uncertain on the estimate