Powell: Future inflation fluctuations intensified, the United States may face a prolonged period of supply shocks.

On May 15th local time, Federal Reserve Chairman Powell delivered a speech at the 2nd Thomas Laubach Research Conference. Powell said that future inflation may be more volatile, and the United States may be entering a period of more frequent and longer-lasting supply shocks, which is a daunting challenge for the economy and the central bank. Powell stated that the Fed will reexamine certain aspects of its strategic framework based on the experience of the past five years, and will also consider improving the policy communication tools of the committee in predicting uncertainty and risks. In the current review, the committee is discussing the lessons learned from the past five years and plans to complete deliberations on specific modifications to the consensus statement in the coming months.