Fed's Brainard: Inflation still remains noticeably below our two percent target

Federal Reserve Governor Lael Brainard was speaking from the Chicago Council on Global Affairs in Chicago, Illinois, where she stated that progress toward full employment will likely to be gradual and highlighted that the inflation is "noticeably" below the target.

Key quotes from the speech:

"Because monetary policy is forward looking, policymakers must assess how key features of the economic environment are most likely to influence the future path of the economy and shape policy accordingly."

"At a time when the unemployment rate has fallen from 8.2 percent to 4.9 percent, inflation has undershot our 2 percent target now for 51 straight months."

"Over the current expansion, with a federal funds rate at, or near, zero and the additional support provided by asset purchases and reinvestment, GDP growth has averaged a very modest rate upward of 2 percent, and inflation has averaged only 1-1/2 percent. "

"This asymmetry in risk management in today's new normal counsels prudence in the removal of policy accommodation. I believe this approach has served us well in recent months, helping to support continued gains in employment and progress on inflation."