Fed Chair Powell (Q&A) says getting through the data distortions from the shutdown, distortions in data is no longer material

• Outlook for economic activity has clearly improved since the last meeting, and the Fed thought it would adjust language in the statement accordingly
• Says data suggests some labour market stabilisation, some signs of continued cooling

Fed Chair Powell's comments highlight an improved economic outlook and suggest that the Fed is leaning towards a more optimistic tone in their statements, which could signal potential policy adjustments. The reference to stabilization in the labor market and cooling trends indicates a nuanced view that may impact interest rate expectations moving forward, particularly for the USD and fixed income markets.