Fed’s Brainard Stresses Patience in Policy Stance

The United States Federal Reserve Governor, Lael Brainard, said on Tuesday that the U.S. economy is recovering but remains challenged by uncertainty, reiterating the need for patience in monetary policy.

“The outlook is bright, but risks remain, and we are far from our goals.”

“Basing monetary policy on outcomes rather than the outlook will serve us well.”

“The boost to spending from pent up demand this year as the economy reopens is also unlikely to be repeated next year.”

“A persistent material increase in inflation would require not just that wages and prices increase for a period after reopening, but also a broad expectations that they will continue to increase at a persistently higher pace.”