In my view, this achievement is a cornerstone of the new regulatory system and I would like to pay tribute to all those who have worked on this new framework and succeeded in agreeing on it at a global level. Basel III represents a decisive improvement in global capital standards. In this context, I find the Long-term Economic Impact study particularly noteworthy.
Most immediately, base effects are likely to contribute substantially to the 12month readings of headline and core PCE inflation in April and May as the price declines of March and April 2020 roll out of the 12-month calculation.