US, Iran reach draft 60-day ceasefire and nuclear talks deal; Trump yet to approve

Good afternoon. I would like to thank Governor Jónsson for the invitation to the conference and for the opportunity to address you today. 1 I will focus my remarks on productivity growth and implications for monetary policy. This topic has generated considerable interest in the United States, where excitement about artificial intelligence (AI) has reached a fever pitch. Yet productivity growth is a broader topic than just AI. Before I get started, let me stress that these are my views and not necessarily those of my FOMC colleagues.2 Let me also note that I am an avid user of AI. I have six AI tools on the home screen of my phone. I see the tremendous impact that it can have on businesses and households. What is less clear to me is the impact that AI is having on aggregate productivity growth today and will have in the future. Productivity growth in the United States has largely recovered from the COVID doldrums, driven in large part by firms’ investments in various automation technologies, including AI. Many observers expect productivity to continue to increase sustainably at a high rate, potentially easing inflation pressures and allowing the Fed and other central banks to lower their policy rates ST LOUS FED'S MUSELEM/REYKJAVIK: FOR NOW 'A VIGILANT FOCUS ON RETURNING INFLATION TO TARGET WILL BEST ENSURE SUCCESS' #Musalem #FederalReserve #economy ST LOUS FED'S MUSELEM/REYKJAVIK: LONG-TERM INFLATON EXPECTATIONS 'DRIFTING HIGHER;' INFLATION 'RUNNING MEANINGFULLY ABOVE TARGET' #Musalem #FederalReserve #economy ST LOUS FED'S MUSELEM/REYKJAVIK: ‘BETTER POLICY WOULD BE TO LEAN AGAINST DEMAND PRESSURE ON INFLATION; MKTS APT TO DEMAND HIGHER RATES VS INFLATION #Musalem #FederalReserve #economy

Good morning. Deputy Governor Toni Gravelle and I are pleased to be here to discuss the Bank of Canada’s Financial Stability Report, or FSR. A stable and efficient financial ...