Highlights from Fed Chair Jerome Powell's press conference
- Some of the very worst economic outcomes have been avoided thanks to policy actions
- No one should be complacent
- We will continue to provide support for as long as needed
- Monetary policy will provide significant support until the recovery is complete
- Vaccines offer hope of more-normal conditions later this year
- Housing sector has more-than recovered, business investment has also picked up
- Recovery has progressed more quickly than generally expected
- Notes that forecasts have been revised up notably
- Says unemployment rate understates progress in the economy
- Overall inflation remains below our 2% objective
- Over the next few months inflation will move up on base effects
- We could also see upward pressure on prices on the reopening, particularly on supply bottlenecks
- One-time increases in pricing are likely to have transient effects
- A transitory rise in inflation above 2%, as is forecast this year, would not meet our standard
The dollar fell to new lows on Powell's brush-off of transitory inflation.