Fed Chair Powell statement: Reiterates that the central bank is moving expeditiously to bring inflation down, Fed has resolve to do it; economy is resilient

INFLATION:

• Fed is moving expeditiously to bring inflation down, Fed has resolve to do it.
• Over the coming months, Fed is looking for compelling evidence that inflation is coming down, pace of rate hikes will depend on data and outlook for economy.
• Another large rate increase could be appropriate at the next meeting, likely will be appropriate to slow pace of increases as rates get more restrictive.
• Price pressures are broad.
• Inflation well above goal.
• Although prices for some commodities have eased, there is still additional upward pressure on inflation.

LABOUR MARKET:

• Labour market is extremely tight, inflation is much too high.
• Job growth is slower, but robust
• Labour demand remains very strong, supply remains subdued
• Wage growth is elevated

ECONOMY:

• Fed expects a period of below trend economic growth.
• Economy is resilient
• Powell says growth in consumer spending has slowed significantly
• Business fixed investment looks to have declined in Q2

BALANCE SHEET:

• Powell says the Fed is continuing process of significantly reducing its balance sheet.