Fed's Rosengren says policymakers will do what they can
Comments from the Boston Fed leader
- Unemployment rate likely to remain a double-digit levels at year-end, likely to peak around 20%
- Households may remain reluctant to spend or to return to work because of public health concerns
- Fed facilities helped relieve pressure in short-term funding markets
- New main street lending program in coming weeks won't assist everyone but will provide important bridge
- Time now for monetary and fiscal policy to act boldly
The nod to fiscal policy is no accident, it's part of a coordinated Fed policy to nudge Congress towards spending more.