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Aug 14, 2013

Fed’s Bullard advocates caution in tapering bond buying

PADUCAH, Kentucky (Reuters) – The U.S. Federal Reserve risks pushing inflation even lower if it tapers bond purchases too aggressively and could take a more cautious approach by initially only scaling back by a small amount, a senior central banker said on Wednesday.

James Bullard, president of the St. Louis Fed, said he had not yet made up his mind if next month’s Fed policy meeting would be too soon to start curbing bond buying, as markets currently expect, but he was aware of the risks of being too aggressive.

Aug 14, 2013

Not much sign inflation heading up toward target: Fed’s Bullard

PADUCAH, Kentucky (Reuters) – The low U.S. inflation rate is a worrisome sign for the country’s economy, and there is not much evidence it is heading higher, a senior U.S. Federal Reserve official said on Wednesday, adding that price pressures would be under scrutiny as policymakers weigh tapering monthly bond purchases.

“Inflation has been running very low. I have been concerned about low inflation,” James Bullard, president of the St. Louis Fed, told a Rotary Club luncheon in Paducah, Kentucky. “There has not been much indication, so far, that it has been ticking back up toward target.”

Aug 14, 2013

Fed’s Bullard: Not much sign inflation heading up toward target

, Aug 14 (Reuters) – The low U.S. inflation rate
is a worrisome sign for the country’s economy, and there is not
much evidence it is heading higher, a senior U.S. Federal
Reserve official said on Wednesday, adding that price pressures
would be under scrutiny as policymakers weigh tapering monthly
bond purchases.

“Inflation has been running very low. I have been concerned
about low inflation,” James Bullard, president of the St. Louis
Fed, told a Rotary Club luncheon in Paducah, Kentucky. “There
has not been much indication, so far, that it has been ticking
back up toward target.”

Aug 10, 2013

Obama says Summers, Yellen, others in running for Fed chair

WASHINGTON (Reuters) – President Barack Obama said on Friday that Lawrence Summers and Janet Yellen were both highly qualified to be the next chair of the U.S. Federal Reserve, but stressed that there was a “range of outstanding candidates” for this vital job.

“Frankly, I think both Larry Summers and Janet Yellen are highly qualified candidates. There are a couple of other candidates who are highly qualified as well. I’ll make the decision in the fall,” he told a press conference.

Aug 2, 2013

Bullard: Fed should hold press conference at every meeting

BOSTON (Reuters) – A senior Federal Reserve official said on Friday that the U.S. central bank’s current practice of holding quarterly press conferences could be distorting policy decisions, and urged the Fed to stage one after every meeting to ensure a smooth process.

St. Louis Federal Reserve President James Bullard told Reuters in an interview that at the moment, the four annual policy-setting committee meetings followed by press conferences were taking on an outsized importance.

Aug 2, 2013

Fed’s Bullard: economy improving but needs to get stronger

NEW YORK (Reuters) – A top Federal Reserve official said on Friday that the U.S. economy is improving modestly but needs to gather more steam, while inflation remained too low for comfort, underscoring the debate within the central bank over when to scale back stimulus.

“I’ve been optimistic about the economy and kept projecting that growth is just around the corner, but obviously over the last three quarters growth has average only about 1 percent,” St. Louis Fed President James Bullard told Reuters.

Aug 1, 2013

Fed stays on track with bond buying, for now

WASHINGTON (Reuters) – The Federal Reserve on Wednesday said the U.S. economy continues to recover but is still in need of support, offering no indication that it is planning to reduce its bond-buying stimulus at its next meeting in September.

Wrapping up a two-day gathering, the central bank said it would keep buying $85 billion in mortgage and Treasury securities per month in an effort to strengthen an economy that it said was still challenged by federal budget-tightening.

Jul 31, 2013

U.S. Fed offers no hint of stimulus pullback

WASHINGTON (Reuters) – The U.S. Federal Reserve said on Wednesday the economy continues to recover but is still in need of support, offering no indication that a reduction in the pace of its bond-buying stimulus program is imminent.

For now, the Fed will keep on buying $85 billion (56 billion pounds) in mortgage and Treasury securities per month in its ongoing effort to bolster an economy still challenged by federal budget-tightening and weak growth overseas.

Jul 31, 2013

Fed to keep buying bonds, but may point to plans to taper

WASHINGTON (Reuters) – The Federal Reserve likely will decide at the end of a policy meeting on Wednesday to continue buying bonds at an $85 billion monthly pace, but it could alter an accompanying statement to spell out the possibility of scaling back purchases later this year.

Even if it does, the Fed is unlikely to clarify whether that process will begin in September, as financial markets expect, or later. Fed officials would prefer to see more evidence that the recovery in the job market is first fully entrenched.

Jul 18, 2013

Bernanke: premature to say if ‘mixed’ data will delay bond taper

WASHINGTON (Reuters) – Federal Reserve Chairman Ben Bernanke said on Thursday it was too soon to judge if recent “mixed” signals from the U.S. economy would prompt the central bank to delay plans to trim its bond buying later this year.

In what could be his final appearance before Congress, the Fed chief was asked if a recent run of disappointing economic data could undermine the case to begin scaling back asset purchases in September, as financial markets currently expect.

    • About Alister

      "White House Correspondent. Based in the United States for six years covering the economy and Federal Reserve before moving to the White House beat. Previously reported for Reuters from Germany, South Africa, the Netherlands, the United Kingdom and Iraq."
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