Fed's Rosengren is in the autumn taper camp. He is a voting member in 2021
Heads up. Boston Fed president Rosengren ( voting member in 2021) will be interviewed on CNBC shortly.
In an interview last week with the Associated Press, Rosengren joined the early taperers saying that the Fed should begin slowing the stimulus efforts by the fall. He said:
- The central bank should announce in September that it will begin reducing its $120 billion in purchases of Treasury and mortgage bonds "this fall."
- The bond purchases are no longer helping to create jobs but are instead mostly helping drive up the prices of interest-rate sensitive goods such as homes and cars.
- He expected to see by the Sept. 21-22 meeting enough job growth to meet the Feds taper criteria, dependent on the Delta variant and other variants not slowing down the labor market substantially
- He hopes that if strong economic growth continues, that the Fed would be "done with the tapering program...towards the middle of next year".
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