MNI POLICY-Fed's Clarida Sees Brighter Economic Outlook

Federal Reserve Vice Chair Richard Clarida said Friday the economy's prospects have brightened because of progress on the coronavirus vaccine despite short-term pain from a surge in cases and deaths.

"The prospects for the economy in 2021 and beyond have brightened and the downside risk to the outlook has diminished," Clarida said in prepared virtual remarks to the Council on Foreign Relations.

Clarida's comments come just hours after the Labor Department reported the loss of 140,000 jobs last month, the first decline since April.

Clarida indicated an ongoing committment -- if not any particular inclination -- to do more to support growth if necessary.

"We are committed to using our full range of tools to support the economy and to help ensure that the recovery from this difficult period will be as robust as possible," he said.