Quarles Supports Faster Taper of Fed Bond Buying

The transcript discusses the speaker's support for a committee decision to adjust the tapering of mortgage-backed and treasury purchases. The speaker expresses a preference for faster tapering of mortgage-backed purchases but acknowledges the committee's consensus. The discussion shifts to interest rate predictions for 2022, emphasizing reliance on data. The speaker is skeptical about inflation decreasing soon but is comfortable with moderate inflation levels. If inflation remains high, the Fed may need to use other tools.

What does the speaker suggest about inflation levels and their implications for the Fed's actions?

What tools does the speaker believe the Fed may need to use if inflation remains high?