Schmidt: Inflation Remains a Key Issue for the Federal Reserve, No Clear Monetary Policy Response Yet

According to Golden Ten Data, ChainCatcher reports that on Wednesday, Federal Reserve's Schmid stated that excessively high inflation remains a key issue that the Fed needs to address, but he did not specify how monetary policy should respond. Schmid said: "I believe we still have work to do regarding inflation," while also noting that employment conditions are quite good. He pointed out that the large amount of mortgage-backed securities held from the Fed's previous bond-buying actions continues to suppress housing borrowing costs, and that mortgage rates "may be 75 to 100 basis points lower than they otherwise would be."