This meeting was the first deep dive on timing, pace, and composition , but no decision was made,” Powell said.
“Since the committee adopted its asset purchase guidance last December, we also reviewed some considerations around how our asset purchases might be adjusted, including their pace and composition once economic conditions warrant a change,” he told reporters on Wednesday.
Gold’s first reaction was to drop below the $1,800 an ounce level.
One thing Powell identified as a sign of substantial further progress was a much stronger labor market.
“Most of the time, when you have high inflation, you have full employment.
In any case, we’ll use our tools to make sure that we have inflation that averages 2% over time,” he said.
“Transitory is something that doesn’t leave a permanent mark on the inflation process.