Fed's Daly: Fed and fiscal policymakers to do more if faced with second wave of infections

Outcome-based forward guidance has been very effective in the past, noted San Francisco Federal Reserve President Mary Daly on Monday.

Daly further said that she expects both the fiscal and Fed policymakers to do more in case there is a second wave of coronavirus infection.

"We want to return to the level of unemployment we were at pre-crisis," Daly added. "Companies that were highly leveraged pre-crisis may not survive through the COVID crisis."

Market reaction

The US Dollar Index largely ignored these comments and was last seen losing 0.2% on the day at 96.90.