Fed's Rosengren expects significant near-term US economic weakness (but there are positive longer run tailwinds)

Author: Eamonn Sheridan | Category: Central Banks

Rosengren is president and CEO of the Federal Reserve Bank of Boston

Comments come via an interview he had with Reuters:

  •  labor market could be stagnant for the next couple months until we have much more widespread vaccinations
  • says economy could face significant weakness in the near term as virus infections and hospitalizations rise
  • arrival of effective vaccines and outlook for more fiscal support are positive longer run tailwinds
  • a fiscal program that provides grants to struggling businesses might be the best way to provide support
  • some banks weren't willing to take risk through main street lending program
  • future need for emergency lending programs from fed would depend on what happens with pandemic and vaccinations
  • mid-sized companies could need more lending support in scenario where vaccine is not effective
  •  he has had routine conversations with incoming Biden administration about structure of emergency lending facilities


By continuing to browse our site you agree to our use of cookies, revised Privacy Notice and Terms of Service. More information about cookiesClose