Fed's Brainard: Labor demand and supply recovering at different paces

Federal Reserve Governor Lael Brainard noted on Tuesday that labor demand and labor supply are recovering at different paces and added there are frictions, as reported by Reuters.

Additional takeaways

"Will be looking for employment to be closer to the assessment of full employment."

"Will be looking for inflation to be sustainably closer to 2%."

"Expecting to make progress on both employment and inflation fronts."

"Market surveys suggest our reaction function has been communicated quite well."

"Fed is aiming for broad-based and inclusive maximum employment and eliminating shortfalls."

"We hear a lot about people being unable to go back to work because of virus fears."

"Less than 1 in 4 of working-age population were vaccinated at the time of April jobs report."

"People want to go back to work and are willing."

Market reaction

The US Dollar Index largely ignored those remarks and was last seen losing 0.2% on the day at 90.09.