Powell speech: Hindsight says we should have moved earlier to see inflation as longer-lasting

Federal Reserve Chairman Jerome Powell, in the second day of his semi-annual testimony before the US Congress, said that, in hindsight, we should have moved earlier to recognise inflation as longer-lasting. 

Additional Remarks:

"We are short of workers right now."

"For the most part, real wages are declining."

"That's why we need to get inflation under control."

"We are going to use our tools, we are going to get this done."

Says "yes", when asked if he is prepared to do what it takes on inflation. 

"Sanctions make it difficult for the central bank of Russia to support the rouble."

"We've been feeling small amounts of progress on supply chains."

"We haven't seen much relief on the supply side."

"An unexpected byproduct of the Ukraine war is that it will not help with supply issues."

"We haven't seen much relief on the supply side."

"There is no problem with labour demand."

"We have a labour supply problem."

"Getting past the pandemic, higher wages should help with that."

"In the near-term, getting past supply chain problems would help on inflation."

"Higher oil prices will show up in higher inflation."

"Question will be what the extent and persistence of this inflation will be."

"Additional inflation pressure does raise risks of inflation expectations rising."