Yellen Q&A: Focus is not just on the next couple of quarters
- Takes its mandate and objectives from Congress.
- Some dissent is to be expected in this complex economy
- Looking to achieve consensus on Monetary policy
- Has always backed FOMC decisions as fed chair
- Uncertain on what is normal rates. The current level of normal rates is pretty low
- Yellen believes neutral rates to rise over time
- No preset plan on rates. Difficult to provide precise guidance
- Best we can do is explain what factors guide rate path
- We constantly have to be reacting to new data
- Refrains from commenting on Donald Trump implications. Q&A ends.
The dollar fell modestly.
The 2 year is at 0.799%/10 year at 1.7246% - down modestly
The S&P is up 0.43% Nasdaq is up 0.51% - up modestly