Powell in the Q&A:
- We want to see actual 'substantial progress' not forecasts for that
- Says 'not yet' when asked about if it's time to talk about tapering
- We will want to talk about progress well in advance of a taper
- We want to see actual data, not just forecasts
- We expect that to happen but we'll have to see it first
- We'll have something to announce on SLR 'in coming days'
- The SEP is not a committee forecast, it's a compilation
- The state of the economy in 2-3 years is highly uncertain, I wouldn't want to focus on a forecast that far out
- It will take time for people to adjust to us waiting for actual data but the only way to create credibility on that is to do it
- I would be concerned by disorderly conditions in markets or a persistent move that threatened our goals
- We're committed to accommodative stance until the job is well-and-truly done
- The stance of monetary policy we have today we believe is appropriate, with think our QE purchases are appropriate
- The fiscal response will look good in the long term
- There are different perspectives on the FOMC because we've never been in a pandemic before; we've never had this kind of fiscal support before
- For liftoff, the Fed needs maximum employment and inflation at 2% but not on a transient basis
- It's absolutely essential to maintain financial stability and carefully monitor it
- Over the long expansion before the pandemic, we didn't see an excess build up
- The connection between low rates and financial instability is not as tight as people think
- Notes that progress in jobs market slowed Nov-Jan
- We saw a nice pickup in Feb jobs but it can go so much higher, I think it will be
The US dollar is continuing to fall as Powell emphasizes waiting to see realized progress on 'substantial progress' and saying they will brush off temporary inflation.
