One on one with CNBCs Steve Liesman

  • Financial system now safer
  • Financial institutions are able to operate in sensible fashion.
  • Some lending sectors are doing well
  • It is not the policy of the Fed to be smaller
  • Large institutions should internalize potential risks
  • Been in a moderate elongated economy
  • Growth not too much about trend
  • Made fair amount of progress but not enormous momentum
  • We're in globally disinflationary environment
  • Inflation running below target in global disinflationary environment
  • Should look for tangible evidence of wage pickup
  • Been some years since inflation has approached target
  • On inflation, should look through dollar energy prices
  • Right now expectation is not appropriate to raise rates
  • I wouldn't expect it appropriate to raise rates

Tarullo is a member of the FOMC board and therefore is a voting member.