Brainard Q&A: Fed has robust set of tools, committed to using all of them

More dovish commentary

  • Bank should not be paying dividends, they should be hanging on to buffers and continuing to lend
  • Yield curve control could be a tool
  • Bond buying and forward guidance remain core Fed tools
  • Uncertainty clouds outlook, fiscal stimulus important

Despite the dollar rally, everything Brainard has said is dovish. Some kind of forward guidance appears to be coming.

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