00:00Economic growth is strong, and the labor market is solid,
00:04but inflation is above our 2% target,
00:07and not clearly trending toward target in a timely way.
00:12Moreover, risks to achieving our inflation target have increased,
00:16while risks to the labor market have receded.
00:19We need to recalibrate monetary policy
00:22to reflect the balance of risks to our mandate goals.
00:27The FOMC took important action to that end last week
00:30by increasing the policy rate, which I supported.
00:34In my view, given changes to the economy, we were out of position,
00:39and we made an adjustment in the right direction.
00:42In my base case, further policy adjustments are likely to be needed
00:47to ensure inflation comes down to target in a timely fashion.
00:52We want to support sustainable, durable growth
00:55in support of maximum employment,
00:58and price stability is crucial to that.
