Federal Reserve governor Lael Brainard said the U.S. economy faces "considerable uncertainty" in the months ahead and called for continued support from both the central bank and fiscal policymakers to help the country recover from the coronavirus pandemic.

"Fiscal support will remain essential to sustaining many families and businesses," Brainard said Tuesday during a virtual event hosted by the Brookings Institution, adding the timing and size of that support was a "key factor" in the outlook. "In coming months, it will be important for monetary policy to pivot from stabilization to accommodation."

U.S. central bankers have debated increasing the amount of support their policy provides the economy, and whether they should reinforce their guidance on how long interest rates will stay near zero, minutes of their July meeting show. They next meet September 15 to 16, but that is probably too soon to upgrade their statement, said Julia Coronado, president of MacroPolicy Perspectives LLC.

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