Fed Governor Christopher Waller delivered his “two messages” in a speech yesterday. Firstly, “despite an unexpectedly weak jobs report, the U.S. economy is hitting the gas and continuing to make a very strong recovery from the severe COVID-19 recession.”
Secondly, “despite the unexpectedly high CPI inflation report yesterday, the factors putting upward pressure on inflation are temporary, and an accommodative monetary policy continues to have an important role to play in supporting the recovery.”
Waller continued to “expect the FOMC to maintain an accommodative policy for some time”. He added, “we need to see several more months of data before we get a clear picture of whether we have made substantial progress towards our dual mandate goals. ”
