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US Fed's Powell: favors raising rates "fairly gradual"

  • timing and pace of rate rises will be data dependent
  • sees no troubling buildup of frothy financial conditions
  • favours raising rates "fairly gradually"
  • expects inflation to gradually rise to Fed's 2% goal
  • jobless rate understimates remaining labour market slack
  • labour market progress continuing despite March data
  • expects US economy will support rate lift-off later in 2015
  • first rate rise could come as soon as June
  • Fed should look for more proof that labour markets tightening

Fed's Powell aka "the lone Republican" in a speech in NY

 

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