- Fed's reaction to pandemic wasn't bad policy, difficult to know what to do in the middle of a storm
- Fed now has some work to do to bring inflation down
- I have been pleased with US market reaction to Fed policy
- I am hopeful global central bank actions will help contain inflation
- We moved a lot on rates, but from a very low level
- We are moving quickly
- current balance sheet reduction a good pace to start with
Bullard was the most hawkish of the Fed officials coming out of the Covid. He proposed rates going to 3.5% and lo and behold the dot plot has the end of year rate at 3.4%.
He is shifting as rates rise quickly. Admittedly he is not calling the end of the inflation spiral but is less alarmist as policy has progressed along his path.
