jerome h powell : opening remarks - economic club of new york luncheon opening remarks by mr jerome h powell, chair of the board of governors of the federal reserve system, at the economic club of new york luncheon, new york city, 19 october 2023. * * * before our discussion, i will take a few minutes to discuss recent economic data and the outlook for monetary policy. recent economic data incoming data over recent months show ongoing progress toward both of our dual mandate goals - maximum employment and stable prices. inflation by the time the federal open market committee ( fomc ) raised rates in march 2022, it was clear that restoring price stability would require both the unwinding of pandemicrelated distortions to supply and demand, and also restrictive monetary policy to cool strong demand and give supply time to catch up. these forces are now working together to bring inflation down. after peaking at 7. 1 percent in june 2022, 12 - month headline pce ( personal consumption expenditure ) inflation is estimated at 3. 5 percent through september. 1 core pce inflation, which omits the volatile food and energy components, provides a better indicator of where inflation is heading. twelve - month core pce inflation peaked at 5. 6 percent in february 2022 and is estimated at 3. 7 percent through september. inflation readings turned lower over the summer, a very favorable development. the september inflation data continued the downward trend but were somewhat less encouraging. shorter - term measures of core inflation over the most recent three and six months are now running below 3 percent. but these shorter - term measures are often volatile. in any case, inflation is still too high, and a few months of good data are only the beginning of what it will take to build confidence that inflation is moving down sustainably toward our goal. we cannot yet know how long these lower readings will persist, or where inflation will settle over coming quarters. while the path is likely to be bumpy and take some time, my colleagues and i are united in our commitment to bringing inflation down sustainably to 2 percent. the labor market in the labor market, strong job creation has met a welcome increase in the supply of workers, due to both higher participation and a rebound of immigration to pre - pandemic levels. 2 many indicators suggest that, while conditions remain tight, the labor market is gradually cooling. job openings have moved well down from their highs and are now only modestly above pre - pandemic levels

2005 ), “ fear of sudden stops : lessons from australia and chile, ” journal of policy reform, vol. 8 ( 4 ), pp313 – 354. same time, old habits died hard so that as recently as march 1987 the australian government made its last overseas borrowing in the us market in us dollars. in time, overseas investors became comfortable with holding australian government paper, semi and local paper, and eventually corporate bonds and asset - backed securities. turnover in the australian dollar is sixth amongst the world currencies and there is ample liquidity in both currency and asset markets. the relevant derivative contracts have grown, and so provided hedging opportunities. as we point out in a forthcoming bulletin article, australia as a whole has for some time had a long foreign currency position. that is, we have more foreign - currency - denominated assets than foreign - currencydenominated liabilities, a far cry from our position in the early post - float period. i want to conclude now by briefly revisiting the subject of why economies, including our own, have exhibited more stability than in earlier periods. is it because policymakers have become better forecasters and more adept at timely adjustment to the levers of economic policy? it would be tempting to answer yes to this, but i suspect it is only a small part of the answer. a more plausible explanation is that our economy has become more resilient. that is, we have systematically modified our institutional framework so that it is more flexible and more able to adjust to economic shocks than formerly. what i have described above is a good example of this process at work.