Yellen: Rate Hike ‘Is a Vote of Confidence in the Economy’

YELLEN: "So let me say that our decision to raise rates should certainly be understood as a reflection of the confidence we have in the progress the economy has made and our judgment that that progress will continue and the economy has proven to be remarkably resilient. So it is a vote of confidence in the economy. As you know, this was a decision that was well anticipated in markets, and I think it will have relatively small effect on market rates. It could boost very slightly some short-term interest rates that could have an effect on borrowing costs that are linked to them, but overall, I think that households and firms will see very modest changes from this decision. But certainly it's important for households and businesses to understand that my colleagues and I have judged the course of the U.S. economy to be strong, that we're making progress toward our inflation and unemployment goals. We have a strong labor market, and we have a resilient economy."