More Q&A: - Q: Re dry powder left after 2.......>

FED: More Q&A:

- Q: Re dry powder left after 2 cuts, any other tools could use in recession,

incl negative rates?

A: Re firepower, can be a mistake to hold on until a downturn gains momentum.

What we think we're facing here is a situation that should be addressed with

moderate adjustments to the funds rate. We are watching carefully to see if that

is the case. Prepared to be aggressive if appropriate. Re negative rates,

something we looked at during the Financial Crisis. Tools we did use worked

well, didn't use negative rates. LSAP/forward guidance likely to be used,

negative rates unlikely to be used, not at the top of our list.

- Q: How will 2 cuts so far impact real economy?

A: MonPol works with long and variable lags. Reduces interest burden for

borrowers. We're going to use the tool we have, if it comes to it, we'll use all

of our tools.