Fed's Yellen speech: Very focused on trying to achieve 2% inflation target

Janet Yellen, Chair of the Board of Governors of the Federal Reserve System, is responding to questions from Congress members with the key quotes, via Reuters, found below:

• Very focused on trying to achieve 2 pct inflation target
• Raising 2 pct inflation target "not a subject of discussion"
• FOMC has clearly indicated its intention to return to treasury-only portfolio
• Fed has not discussed purchasing municipal, student debt to her knowledge

Key Notes:

Fed's Yellen testimony: Balance sheet reduction will likely begin this year

In her testimony, Yellen noted that provided the economy evolves broadly as anticipated, the Committee will likely begin to implement the program this year. Read more

EUR/USD spikes, then retreats sharply on Yellen headlines

The EUR/USD pair quickly reversed a knee-jerk fall and spiked over 50-pips from lows following the release of the text of the Fed Chair Janet Yellen's upcoming testimony.Read more