- Data on inflation has been very bumpy
- My outlook is that inflation will continue to fall this year and into next year
- But we've still got a ways to go
- Fed is open to all possibilities on economic path
- Risks are really balanced right now
- Our policy stance is restrictive
- Business leaders tell me that things are slowing down, but very gradually
- It will take a while for that momentum to play through in the economy
In simpler terms, he's saying that the Fed is in no position yet to signal any pivot on rates. And when the time comes, expect them to sell the same narrative as the other major central banks ahead of them currently. That being even if they do proceed to cut once, it's no biggie and policy is still restrictive to keep pinning inflation down.
