Fed's Kaplan: Interest rates will stay low for long

Commenting on the Federal Reserve's monetary policy outlook, Dallas Fed President Robert Kaplan said that interest rates will stay for long and added that the Fed will need to do more to bridge this period.

Additional takeaways

"Oil producers will shut wells globally, including in the US with industry contracting this year."

"It will take until second half of 2021 or into 2022 to work off excess oil inventory."

"In near term, disinflation is more likely than inflation."

Market reaction

The market reaction was largely muted to these comments with the US Dollar Index remains stuck in the lower half of its daily range near 99.