American Policy Makers will keep
its loose monetary policy stance for a long while despite increasing signs of
concern among policymakers about the potential costs of asset buying, a top Fed
official said.
"Fed policy is very easy and
it's going to stay easy for a long time, I think," James Bullard, St.
Louis Fed president, said in an interview with CNBC television.
Bullard said Fed policy has
actually become more aggressive because outright purchases of Treasuries are
more powerful than a previously existing maturity expansion program that did
not involve balance sheet expansion.
He argued the economy could grow
as much as 3 percent this year now that some of the key risks to the global
economy, like the fiscal cliff or the prospect of a euro zone break-up, had
receded.
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