FOMC

On paper, it still looks like a dynamite macroeconomic environment in the U.S. But outside the numbers, some cracks are starting to emerge, said former Federal Reserve Chair Janet Yellen.

Federal Reserve Chairman Jerome Powell voiced concern that the central bank’s bond purchases were distorting financial markets and pushed for an early start to reducing them back when he was a governor in 2013.

Federal Reserve Chairman Jerome Powell and New York Fed President John Williams were among policy makers who in 2013 urged against referring to a government shutdown in the central bank’s post-meeting statement.

Federal Reserve Vice Chairman Richard Clarida said the central bank should be ready to adjust monetary policy if headwinds to the economy from financial markets or global growth prove persistent.

The Federal Reserve can be patient in raising rates, Federal Reserve Board Chair Jerome Powell said Thursday, and he doesn’t expect the economy to go into recession in the near term.

Given that inflation has been below the Federal Open Market’s stated 2% target on an annual basis each year since 2012, Federal Reserve Bank of St. Louis President James Bullard said Thursday monetary policy might be “too hawkish.”

Minutes of the Federal Reserve's December meeting revealed policy makers took a more cautious approach to further rate increases than their statement indicated.

Given the pessimism in the financial markets, the Fed should hold rates until economic trends clarify, Federal Reserve Bank of Boston President Eric Rosengren said Wednesday.

The first six months of 2019 will play a big role in future monetary policy, Federal Reserve Bank of Chicago President Charles Evans said Wednesday.

The Fed should be patient and not lift rates to restrictive levels, Federal Reserve Bank of Atlanta President Raphael Bostic said.