Fed Chair Yellen: reiterates Fed to proceed cautiously in raising rates - semi-annual Senate testimony
- expects inflation to rise to 2% over medium term as transitory influences holding it down fade
- data points to a step-up in Q2 GDP growth
- reiterates there are tentative signs wage growth may be picking up; reiterates pace of labor market improvements appear to have slowed
- anticipates economic conditions will improve further
- cannot rule out possibility slow productivity growth will continue
- considerable uncertainty about economic outlook remains
- path of Fed funds rate will depend on economic and financial developments
- corporate bond program continues to function smoothly