Powell speech: Wouldn't surprise markets if we have to change pace of taper
Following the Federal Open Market Committee's (FOMC) decision to keep the policy rate unchanged and to reduce asset purchases by $15 billion per month, FOMC Chairman Jerome Powell is delivering his comments on the policy outlook.
Key quotes
"If we see a need to deviate from taper plan, will make that transparent."
"We wouldn't surprise markets if we have to change the pace of the taper."
"We would telegraph any changes transparently."
"Level of inflation we have right now is not at all consistent with price stability."
"We will use our tools as appropriate to get inflation under control."
"It is not a good time to raise interest rates because we want to give labor market time to heal further."
"Transitory means it will not leave behind persistently higher inflation."
About Jerome Powell (via Federalreserve.gov)
Jerome H. Powell took office as Chairman of the Board of Governors of the Federal Reserve System on February 5, 2018, for a four-year term. Mr. Powell also serves as Chairman of the Federal Open Market Committee, the System's principal monetary policymaking body. Mr. Powell has served as a member of the Board of Governors since taking office on May 25, 2012, to fill an unexpired term. He was reappointed to the Board and sworn in on June 16, 2014, for a term ending January 31, 2028.
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
