Fed's Dudley (dove, FOMC voter): There are few drivers of higher inflation currently; there are many horrible events going on around the world, but for the most part they are contained - conference comments
- Inflation expectations are well anchored right now- Confident the Fed has the tools it needs to manage the policy exit process.
- Outlook on higher interest rates are driven by economic data- People should not overweight the value of the statement's dot chart
- Nobody should be expecting big changes in Fed communications- Fed policy to remain expansionary for a long time
- Rates near zero is not a comfortable place for the Fed to be, savers need to see some returns