Feds Brainard speaks on monetary policy and the US economy
- demand looks to have softened. More downside risks
- urges watchful waiting on policy with inflation tame
- tame inflation means economy may have room to run. the low committee's objective
- she's revised down her 2019 economic outlook
- appropriate for Fed to wind down runoff later 2019
- foreign growth slowdown looks more persistent
- backs rebalancing Fed portfolio with shorter-term bonds
- job gains have remained strong, inflation near goal
- would not like to cut rates and shrink balance sheet at the same time
- trade disputes, Brexit, US government debt ceiling among risks to forecast
- Best way to safeguard gains is to navigate cautiously on rates
- policy goal now is to preserve progress made on maximum employment, target inflation
