Richard Fisher, President and CEO of the Federal Reserve Bank of Dallas, speaks at the Dallas Business Club on the “Texas economy” and on monetary policy
- Says slowly letting fed assets roll off would do no harm
- Says his plan doesn’t mean a rush to lift fed funds rate
- Fed rate rises to depend on progress on jobs, inflation
Headlines on Bloomberg
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More (via Reuters):
- U.S. Fed should start trimming balance sheet now
- Reducing Fed’s balance sheet slowly would ‘do no harm’
- Shrinking Fed’s bond portfolio would alleviate collateral shortage but not spark spike in rates
- Would also show fed intends to phase out reverse repo operations
- Trimming balance sheet does not imply any rush to raise rates
- Timing of rate rise will depend on progress toward 2-pct inflation goal, full employment
