Feds Evans speaks at a virtual event hosted by Prairie State College foundation
The Fed's Evans is speaking at a virtual event hosted by the Prairie State College foundation. He comments that the Fed only needs to be concerned if inflation becomes bothersome. A 2.5% inflation rate should not be viewed as being out of bounds. He is confident that the Fed would adjust policy if inflation runs to high and comments that it is a good thing that longer-term yields are rising.
He says:
- focuses on actual data not just forecasts
- labor markets are moving in the right direction but still a long way to go
- Will need to see months and months of higher inflation before we will know if it is sustainable
- As inflation rises it will be uncomfortable but have to be patient and bolder
- risks are balanced
- It is too early to even start talking about talking about QE taper.
Fed's Evans is a voting member.
