US Federal Reserve's Brainard out with scheduled speech 5 Sept
- few signs of dangerous financial asset bubbles
- suggests ready to start shrinking balance sheet
- concerned recent low price readings due to depressed underlying inflation
- should be cautious on rate hikes given long period of low inflation
- Fed should make it clear it is comfortable with pushing inflation "modestly above target for a time"
- inflation "well short" of objective
- should assess inflation data closely and be confident before raising rates
FOMC permanent voter Brainard seemingly in no rush to raise rates with weak inflation still proving to be a headache.
USD unfazed with the comments reflecting the current Fed position/concerns.
USDJPY 109.33 EURUSD 1.1892 GBPUSD 1.2954 USDCAD 1.2393 AUDUSD 0.7978
Let's see what NA desks want to do with it all.
See you back here tomorrow.
Fed's Brainard seemingly in no rush to raise rates
