Federal Reserve Bank of Canada President Daly emphasized that the dual mandate objectives remain unchanged, but expressed a willingness to assess the economy using new methods.
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Federal Reserve Bank of Walter offered two key considerations for monetary policy: initial conditions and forward guidance determine the transmission effect.
According to Odaily Odaily, Federal Reserve Bank of Walter Waller offered two points of consideration regarding the monetary policy transmission mechanism, emphasizing that policy effectiveness depends on initial conditions and the way forward guidance is used: First, "initial conditions are crucial," meaning monetary policy assessments should be based on current economic conditions, not historical averages. Second, regarding the role of forward guidance, he believes that while forward guidance can accelerate policy transmission in certain situations by influencing market expectations and changing financial conditions in advance, if it is too rigid or lacks flexibility, it may weaken policy effectiveness or even delay necessary policy adjustments. Waller emphasized that when multiple economic scenarios exist, the “average path” cannot be simply used as a basis for policy guidance, and policymaking needs to maintain adaptability and flexibility to different scenarios.
Opinion: Warsh should publicly resist Trump's pressure on the Federal Reserve and uphold the central bank's independence.
According to Mars Finance, on July 6th, Bloomberg columnist Jonathan Levin published an article stating that US President Trump and his allies are continuously pushing to influence Federal Reserve decisions through personnel changes, including attempting to replace Fed Governor Lisa Cook and interfering in the selection of the Federal Reserve Bank of Atlanta president, in order to expand the influence of White House supporters on the Federal Open Market Committee (FOMC). Levin believes that Kevin Warsh, considered a leading candidate for the next Fed chair, should publicly oppose White House interference, support Jerome Powell and Cook to complete their terms, and demand that the White House withdraw from the selection process for regional Fed presidents; otherwise, his future credibility in leading the Fed and his influence within the committee will be weakened. The Fed's independence is key to maintaining stable inflation expectations and the credibility of monetary policy; continued political interference could damage the stability of the US macroeconomy.
Federal Reserve's Daly: We are in the early stages of AI potentially driving exponential growth in productivity.
PANews reported on July 2nd that Federal Reserve Chairman Daly stated: "We are in the early stages of a potential exponential increase in productivity driven by artificial intelligence. If central banks act too quickly, they may prematurely stifle the economy; if they act too slowly, it may have adverse effects on the public."
Swiss private bank Julius Baer: The Federal Reserve is unlikely to raise interest rates, and gold prices are expected to rebound.
According to Mars Finance, citing Jinshi, Swiss private bank Julius Baer predicts that the Federal Reserve is unlikely to raise interest rates and the dollar may weaken, thus gold prices are expected to recover lost ground.
Daly: The Federal Reserve may need to continue fighting inflation.
According to Mars Finance, as reported by Jinshi, Federal Reserve Chairman Daly stated that there is a scenario in which the Federal Reserve may have to continue fighting inflation.
Warsh appointed former Bank of England Governor Mervyn King to co-chair the Federal Reserve's new communications task force.
According to Mars Finance, on July 1, market sources reported that Federal Reserve Chairman Warsh appointed former Bank of England Governor Mervyn King to co-chair the Fed's new communications task force.