Fed's Kaplan repeats call for opening QE taper debate
Reuters
Published May 20, 2021 11:17AM ET
(Reuters) - Federal Reserve Bank of Dallas President Robert Kaplan on Thursday that as the U.S. economy improves and weathers the pandemic, the U.S. central bank should move to consider reducing its support for the economy sooner rather than later.
"Maybe taking the foot gently off the accelerator would be the wise thing to do here," Kaplan said at a virtual event put on by the Borderplex Alliance, an economic development organization on the U.S.-Mexico border. Massive fiscal stimulus has helped boost demand, he said, and the Fed's continued monthly $120 billion in bond purchases could contribute to excesses and imbalances in financial and housing markets, he said, adding, "I think it's important that monetary policy adapt to changes in fiscal policy."
Get The News You Want
Written By: Reuters
Trading in financial instruments and/or cryptocurrencies involves high risks including the risk of losing some, or all, of your investment amount, and may not be suitable for all investors. Prices of cryptocurrencies are extremely volatile and may be affected by external factors such as financial, regulatory or political events. Trading on margin increases the financial risks.
Before deciding to trade in financial instrument or cryptocurrencies you should be fully informed of the risks and costs associated with trading the financial markets, carefully consider your investment objectives, level of experience, and risk appetite, and seek professional advice where needed.
Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. The data and prices on the website are not necessarily provided by any market or exchange, but may be provided by market makers, and so prices may not be accurate and may differ from the actual price at any given market, meaning prices are indicative and not appropriate for trading purposes. Fusion Media and any provider of the data contained in this website will not accept liability for any loss or damage as a result of your trading, or your reliance on the information contained within this website.
It is prohibited to use, store, reproduce, display, modify, transmit or distribute the data contained in this website without the explicit prior written permission of Fusion Media and/or the data provider. All intellectual property rights are reserved by the providers and/or the exchange providing the data contained in this website.
Fusion Media may be compensated by the advertisers that appear on the website, based on your interaction with the advertisements or advertisers.