More Q&A: - Q: Have you figured out how to......>

FED: More Q&A:

- Q: Have you figured out how to account for trade uncertainty?

A: Trade policy is not the business of the Fed, it's of Congress/Administration.

Trade policy is weighing on the outlook. What we can't address is what

businesses would like, which is a settled roadmap for trade. But we can support

demand/economic activity/confidence through monetary policy, accommodative

financial conditions. It's a challenge. We need to look through the volatility

to the things that are relevant to our mandate. Means not overreacting, not

underreacting. The outlook is positive in the face of these crosswinds so to

some extent I do believe shifting to an accommodative stance is a reason the

outlook has remained favourable.

- Q: Fed Funds futures still show further rate cuts. What's your reaction

function?

A: Will be looking at geopolitics, global growth, trade policy uncertainty, most

importantly performance of economy. Consumer is in strong shape, manufacturing

less so. But it's a challenging time. Not on pre-set course. Meeting-by-meeting.