Fed's Clarida speech highlights so far: - On....>

FED: Fed's Clarida speech highlights so far:

- On Fed as global central bank: What's unusual this time is the US is much

close to where it wants to be in terms of both empl and infl than other markets.

And because of global capital markets that has impact on US

- Reminder: we didn't adjust policy at this meeting. But we did note cross

currents. Will be attuned to incoming data. Important point: we have the tools

necessary to sustain expansion, will use them if necessary

- We are not stuck at all. We have flexibility that other countries wished they

had. Primary tool is the Funds rate, are far from zero bound, have room to act

as appropriate.

- Re cutting rates 25bps at a time, linear impact?: A lot of our models are

linear, but the real world is not linear.

- Re July 5 nonfarms payrolls: We had a soft print recently, but important to

note we're not looking at one data point. Cites GDP, PCE, global data, manuf.

Cycle. Lots of factors, not a one note central bank

- Re 50bps rate cut calls in Jul: Won't comment