📌Jerome Powell (head of the #Fed):
Today's statements:
✔️The economic environment has changed significantly since 2020.
✔️Long-term real rates are noticeably higher, inflation expectations are stable.
✔️Inflation has decreased from 7.2% to 2.2%, but the fight against it remains a key task.
✔️The decline in inflation has occurred without a sharp rise in unemployment – a rare historical case.
❗️The risks of new and more frequent supply shocks in the economy have increased.
❗️In the near future, a period of low rates is no longer the baseline scenario.
✔️It is important to maintain the anchoring of inflation expectations to the 2% target.
✔️The review of the Fed's strategy for 2025 will be completed in the coming months.
✔️There are plans to revise the wording for employment "shortfalls."
✔️Fed communication needs to become clearer, especially in conditions of economic uncertainty.
❗️It is necessary to better convey the scale of uncertainty in forecasts to the public and markets.
✔️The reform of the Fed's strategic documents will be adapted to new economic conditions.
✔️Supporting transparency and trust in the regulator's actions remains a priority.