Fed’s Powell: Will Need Substantially More Evidence to Be Confident Inflation on Downward Path

tweet at 2:31pm: POWELL: FULL EFFECTS OF RAPID TIGHTENING YET TO BE FELT tweet at 2:31pm: Fed’s Powell: - We’ve Taken Forceful Actions Over Past Year - Full Effects yet to Be Felt - Have Covered a Lot of Ground, Full Effects yet to Be Felt - But We Have More Work to Do - Price Stability Is The Bedrock Of The Economy tweet at 2:32pm: Fed’s Powell: - We Continue to Anticipate Ongoing Increases Appropriate to Get to Sufficiently Restrictive Stance - We Will Likely Have to Maintain Restrictive Stance for Some Time - Economy Slowed Significantly Last Year - Consumer Spending Appears to Be Subdued tweet at 2:33pm: Fed’s Powell: - Housing Activity Continues to Weaken - Wage Growth is Elevated - Job Market Extremely Tight - Job Gains Have Been Robust - Labor Market Continues to Be Out of Balance - Pace of Job Gains Has Slowed and Nominal Wage Growth Too, but Labor Market Still Out of Balance tweet at 2:34pm: FED'S POWELL: LONGER-TERM INFLATION EXPECTATIONS REMAIN WELL ANCHORED - https://t.co/wXVagA44VK

tweet at 2:03pm: Fed: - It Will Continue Reducing Its Balance Sheet As Planned - Vote in Favor of Policy Was Unanimous - Russia’s War Against Ukraine Is Contributing to ‘Elevated Global Uncertainty,' Repeats It Is ‘Highly Attentive to Inflation Risks’ https://t.co/yudMidEtxJ

tweet at 2:38pm: Fed’s Powell: - Our Focus is on Sustained Changes to Broader Financial Conditions - We Are Not Yet at a Sufficiently Restrictive Level on Rates - We Will Take Into Account Financial Conditions and Other Conditions as We Set Policy tweet at 2:40pm: Fed’s Powell: - It is a Good Thing That Disinflation So Far Has Not Come at Expense of Labor Market - But This Disinflationary Process is in Early Stages - In Housing Services, We Expect Inflation to Continue Moving Up but Then Moving Down as New Leases Come in Lower tweet at 2:41pm: Fed’s Powell: - But in Core Services Ex Housing We Don't See Disinflation Yet - It is Gratifying to See Disinflationary Process Getting Under Way and Still Strong Labor Market Data - ECI and Avg Hourly Earnings Off of Highs, Still Fairly Elevated tweet at 2:42pm: FED'S POWELL: ECI AND AVERAGE HOURLY EARNINGS ARE DOWN FROM HIGHS BUT REMAIN FAIRLY ELEVATED. tweet at 2:42pm: Fed’s Powell: - Job Openings Numbers From JOLTS Report Has Been Quite Volatile Recently - JOLTS Number Is 'Probably An Important Indicator' - We See Wages Moving Down - By Many Many Indicators Job Market is Still Very Strong

tweet at 2:43pm: POWELL: WE HAVEN'T MADE A DECISION YET ON TERMINAL RATE tweet at 2:44pm: Fed’s Powell: - Seps in March Could Be Higher Than December, Could Be Lower, Depends on Data - Could Certainly Be Higher Than What We Though in December - If Data Comes in Weaker, Will Make Data-Dependent Decisions - Very Difficult to Manage the Risk of Doing Too Little on Rates tweet at 2:45pm: Fed’s Powell: - We Don't Want Inflation Springing Back - Very Difficult to Manage the Risks of Doing Too Little on Rates - We Have No Desire to Overtighten, but We Have Tools That Would Work on That if We Do - The Job is Not Fully Done tweet at 2:45pm: Fed’s Powell: - Inflation is Core Services Ex Housing is Still Running at 4% - In Other Sectors, You Have a Credible Story on Disinflation - Would Be Very Premature to Declare Victory on Inflation - Don't Feel A Lot Of Certainty About May FOMC Meeting tweet at 2:46pm: FED'S POWELL: WE STILL HAVE A LOT OF WORK TO DO UNTIL WE SEE ALL ASPECTS OF INFLATION COMING DOWN.

tweet at 2:46pm: Fed’s Powell: - Disinflation Outside Of Core Serv. Ex-Hsng 'Credible' - Many Factors Driving Inflation - Until We See All Aspects of Inflation Coming Down, We Still Have a Lot of Work to Do - We Can Now Say for First Time That Disinflationary Process Has Started tweet at 2:48pm: Fed's Powell: - We See It in Goods Sector - But That's Around 1/4 of the PCE Price Index - We See Disinflation in the Pipeline for Housing - We Expect to See That Disinflation Process Will Be Seen Soon in the Core Services Ex Housing, but We Don't See It Yet tweet at 2:50pm: POWELL: WE'RE TALKING ABOUT A COUPLE MORE RATE HIKES TO GET TO APPROPRIATELY RESTRICTIVE STANCE tweet at 2:51pm: FED'S POWELL: ASKED IF FED POLICYMAKERS TALKED ABOUT A PAUSE, SAID WE SPENT A LOT OF TIME TALKING ABOUT PATH AHEAD - https://t.co/wXVagA44VK tweet at 2:52pm: FED'S POWELL: CONGRESS MUST RAISE DEBT CEILING - https://t.co/wXVagA44VK