Fed's Daly: We'll be in a good position to taper at end of year
|In an interview with CNBC on Tuesday, San Francisco Federal Reserve Bank President Mary Daly noted that they will be in a good position to start tapering asset purchases toward the end of the year, as reported by Reuters.
Additional takeaways
"Inflation pop was expected."
"Let's get through the volatile period so we can see where the economy really is."
"Inflation rise is temporary."
"Several months of this doesn't mean it's not transitory."
"Short-run inflation expectations are up but long-run inflation expectations are very steady."
"Long-run inflation expectations are what matters for achieving 2% goal."
"Policy is in a great place right now."
"It is appropriate to start talking about tapering."
"It's premature to talk about interest rate increases."
"Delta variant is a risk."
"Need to see how closer we can get to full employment before start talking about rate rises."
"We're not through COVID yet."
"Pandemic recovery aside, global forces on inflation are mostly on the downside."
Market reaction
These comments don't seem to be having a significant impact on the USD's performance against its rivals. As of writing, the US Dollar Index was up 0.35% on the day at 92.55.
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