"Vice Chair Jefferson's Speech: U.S. Economic Outlook and Monetary Policy Transmission"

In a speech on the U.S. economic outlook and monetary policy transmission, Vice Chair Jefferson discussed the current state of the economy, highlighting that inflation remains too high despite recent encouraging data. He noted that the labor market continues to improve, with job openings remaining above pre-pandemic levels and the unemployment rate near historical lows. Jefferson also discussed the risks facing the economy, including upside risks to inflation and downside risks from a slowdown in foreign economic growth. Regarding monetary policy, he emphasized the transmission of policy through financial conditions and the need for careful consideration in balancing the risks of tightening too much or not enough.