Fed's Powell: We still think the labor market is the best economic data we have

POWELL: WE'RE MONITORING SLACKER DATA QUALITY IN THE CPI Powell: Reliable government data is essential—we hope to continue getting what we need. An independent central bank has greatly benefited the public. Powell: Fed independence must be upheld as long as it benefits the public. Consumer spending, after years of strong growth, may be slowing—but remains healthy, with solid credit performance. Powell: GDP met expectations but is hard to interpret due to net export swings; private sector job creation has eased slightly in the latest report. Fed's Powell: Totality of labor market data shows solid market but you have downside risks.

Powell: Goods inflation is pushing us slightly off target; risks remain to both inflation and employment goals. Fed's Powell: The next steps we take are likely to be closer to neutral. Powell: A lot of data due before the next meeting; base case sees recent price rise as one-time—timing adjustments are key. POWELL: REALLY HARD TO SAY IF DATA TO BE CLEAR BY NEXT MEETING Fed's Powell: The dollar has not been a major focus of discussion.