Continued:
“If the rest of the committee believes monetary policy can do
something and move the economy … they’ll adopt a new quantitative
program,” he added.
Suttle noted that Bernanke is “eager to listen,” and try to
understand “what isn’t quite working in the financial system,”
especially in the banking sector.
He said the Fed also has lot of work underway examining other
options to improve the transmission mechanism that links the central
bank’s actions and the broader economy.
“So this is not the end by any means, but they have to do something
— that’s the bottom line,” Suttle said.
(2 of 2)
** MNI Washington Bureau: 202-371-2121 **
[TOPICS: M$U$$$,MMUFE$,MGU$$$,MFU$$$,MT$$$$,M$$AG$,MN$MO$,MAU0B$,M$$CR$]
