At last year's Jackson Hole, flexible average inflation targeting (FAIT) was introduced—but has the Fed since undermined it? Luke Kawa, asset allocation strategist at UBS Asset Management, explores this turn of events. Together with JST Advisors founder Jon Turek, Kawa walks through how the origins of FAIT were intended to be a step toward more structurally dovish policy by extending the runway for cyclical economic activity. However, with divided voices coming out of the June FOMC meeting that appear to unravel that policy set-up, he shares his perspective on how this will influence markets as well as inflation and future growth. Filmed on August 10, 2021.