Powell Says Shifting Risks May Warrant Fed Policy Adjustment

Monetary Policy Stance - The policy rate is 100 basis points closer to neutral than a year ago [2] - Policy is not on a preset course and may warrant adjusting [2] - Decisions are based solely on data assessment and its implications for the economic outlook and balance of risks [3] Economic Outlook & Risk Assessment - Near-term inflation risks are tilted to the upside, and employment risks to the downside [1] - The framework calls for balancing both sides of the dual mandate (inflation and employment) [1] - The stability of the unemployment rate allows for careful consideration of policy changes [2]