JPMorgan's Frenkel Sees Two More Fed Rate Hikes in 2017

The transcript discusses the Federal Reserve's plan to reduce its balance sheet by four and a half trillion dollars and the potential for raising interest rates at least twice in the current year. The speaker expresses confidence in the Fed's credibility and the appropriateness of interest rate hikes given improved economic conditions, such as labor market improvements and growth in price pressures. The discussion also touches on the need for a gradual approach to balance sheet changes and the economic outlook for 2018.

What is the Federal Reserve's goal regarding its balance sheet as mentioned in the text?

How has the credibility of the Federal Reserve changed in recent years according to the speaker?

What conditions are mentioned as being in place for normalization of interest rates?

What is the speaker's opinion on the possibility of raising interest rates multiple times this year?

What approach does the speaker suggest for changing the balance sheet?