Feds Brainard: "Further policy tightening likely appropriate soon", but...

• Data consistent with rebound this quarter
• Time for balance sheet policy change coming in clearer view
• Global outlook brighter, risk balance more favorable
• Further policy tightening likely appropriate soon
• US GDP growth expected to rebound in second-quarter
• Can't say yet how big Fed balance sheet should be in future
• Lack of progress in core inflation source of concern
• Debt limit uncertainty may influence risk outlook
• May want to delay rate hikes if inflation continues to slow
• High corporate debt level warrants vigilance
• soft inflation may prompt rate rethink if it persists
• Lax auto loan underwriting also a concern