The Federal Reserve Chair Kevin W. Wersh appeared at the Jackson Hole conference and delivered a speech titled “In Our Time.”
Overall, Wersh’s Jackson Hole speech sent a relatively clear signal of cautious hawkishness. He believes that the U.S. economy and labor market still show resilience, and that the current financial conditions are hard to describe as clearly restrictive. Meanwhile, inflation remains significantly higher than the Fed’s 2% target, so price stability should continue to be the top priority for monetary policy.
In his remarks, the Fed Chair emphasized: “My standard is this: we must have confidence that underlying inflation is clearly and at a sufficiently fast pace moving toward our goals. Otherwise, we still have work to do.”