Powell speech: Both sides of our mandate are calling for Fed to move away from highly accommodative stance

Fed Chair Jerome Powell in his post-Fed meeting press conference said that both sides of our mandate are calling for the Fed to move away from highly accommodative policy. 

Additional Remarks:

"The labor market is consistent with max employment."

"That is also my personal view."

"Broad agreement on FOMC will soon be time to raise rates."

"Level of maximum employment may increase as more people return to labor market."

"The policy path we are contemplating would be supportive of that outcome."

"There is quite a bit of room to raise interest rates."

"There is quite a bit of room to raise rates without dampening employment."

"This is a very very strong labor market."

"We can move rates up without having to undermine the jobs market."

"Other forces this year should also bring down inflation."

"Fiscal policy will be less supportive of growth this year."

"Fiscal impulse to growth will be significantly lower, also helping curb inflation."

"There are multiple forces that should be working this year to bring inflation down this year."

"We are prepared to use our tools to ensure higher inflation does not become entrenched."

"The Fed just turning to balance sheet questions."

"This meeting we have put together guidance for decision making."

"This process we will spend time on in upcoming meetings."

"At the appropriate time, we'll give more information on balance sheet reduction."

"The next meeting we will turn to discussing more details on balance sheet reduction."

"At the next meeting will be coming to more of the details on the balance sheet."

"Current economy means we can move sooner and perhaps faster than we did last time."

"We do want balance sheet to be reduced primarily by adjusting reinvestments."

"We think of balance sheet as moving in the background in a predictable manner."

"The active tool is the Fed Funds rate."

"There is an element of uncertainty around the balance sheet."

"Greater clarity we have is on how the Fed funds rate affects financial conditions."

"Balance sheet reduction will start in the background."

"We will arrive at timing, pace and composition of balance sheet reduction, announce it, and will have it running in the background."

"On the size, pace and composition, they are still to be discussed."

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