Fed’s Evans sees inflation not rising to 2% goal until roughly 2020

Fed’s Evans sees not rising to 2% goal until roughly 2020

Chicago Fed President Charles Evans is on the wires now, speaking in Sydney today on ‘The US economic outlook and monetary policy’.

Key Headlines via Reuters:

If there was an overshoot, policy would not have to 'do much work' to lower expectations back down

Risk is inflation will not return to fed's 2 pct target rate within acceptable time period

 Benefits to Fed engineering policy to spur overshoot of 2 pct inflation target

Worried about low inflation expectations

Uncertainty over measures of full employment 'enormous'

US not yet at full employment

Project very shallow path for hikes

Headlines via Bloomberg:

See inflation not rising to 2% goal until roughly 2020

Fed should peg hikes to inflation progress