Fed Governor Lael Brainard said that the weak April NFP report “reminds us that realized outcomes can diverge from forward projections and underscores the value of patience”. Also, “to the extent that supply chain congestion and other reopening frictions are transitory, they are unlikely to generate persistently higher inflation on their own.”
“Remaining patient through the transitory surge associated with reopening will help ensure that the underlying economic momentum that will be needed to reach our goals as some current tailwinds shift to headwinds is not curtailed by a premature tightening of financial conditions,” she said.
