Chief Correspondent, Hong Kong
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Jul 15, 2015

Yellen stands by Fed transparency as lawmakers turn up heat

WASHINGTON, July 15 (Reuters) – Federal Reserve Chair Janet
Yellen on Wednesday resisted calls for more congressional
oversight and intervention into the U.S. central bank, as
members of a House of Representatives panel criticized her and
other policymakers for failing to be more accountable.

One Republican lawmaker also continued his attack on the
Fed’s response to a 2012 information leak, saying Yellen and the
central bank had failed to properly respond.

Jul 15, 2015

Yellen says economy on track, defends Fed ‘transparency’

WASHINGTON (Reuters) – Federal Reserve Chair Janet Yellen said on Wednesday the U.S. central bank remains on track to raise interest rates this year, with labor markets expected to steadily improve and turmoil abroad unlikely to throw the U.S. economy off track.

“If the economy evolves as we expect, economic conditions likely would make it appropriate at some point this year to raise the federal funds rate,” Yellen said in testimony prepared for the U.S. House of Representatives Financial Services Committee, affirming the view of a central bank prepared to gradually raise rates after more than six years at a near-zero level.

Jul 14, 2015

Yellen intensifies Republican outreach amid Fed probe, Senate bill

WASHINGTON/SAN FRANCISCO (Reuters) – As political pressure mounted on the Federal Reserve this spring in the form of a regulation relief bill and a probe into an alleged information leak, Fed Chair Janet Yellen kicked her congressional outreach efforts into high gear.

Yellen connected with more individual lawmakers in May than in any other month since she took on the Fed’s top role in February 2014, according to her most recent calendar disclosure, obtained through a freedom of information request.

Jul 8, 2015

More data needed before Fed can hike, as Greek worries loom: Fed minutes

WASHINGTON/NEW YORK (Reuters) – Federal Reserve officials needed to see more signs of a strengthening U.S. economy before raising interest rates, according to minutes of a June Fed policy meeting, at which Greece’s debt crisis was cited as a serious concern.

The minutes from the June 16-17 meeting show how the central bank continues to grapple with its plan to raise interest rates later this year, in the wake of mixed economic data domestically and market turmoil gathering steam abroad. The minutes underscored the view that a Fed rate hike would likely have to wait until at least September.

Jul 2, 2015

Regional Feds’ head-hunting under scrutiny over insider bias, delays

NEW YORK/WASHINGTON (Reuters) – Efforts to fill top positions at some U.S. Federal Reserve regional branches are casting a spotlight on a decades-old process that critics say is opaque, favors insiders, and is ripe for reform.

Patrick Harker took the reins as president of the Philadelphia Fed this week, in an appointment that attracted scrutiny because he served on the committee of directors that interviewed other prospective candidates for the job he ultimately took.

Jun 29, 2015

Greek drama not likely to waylay Federal Reserve

WASHINGTON (Reuters) – The fuse may be lit for a Greek exit from the euro zone but the fallout in the United States is expected to be modest and not enough to throw the Federal Reserve’s likely September rate hike off course, said former Fed officials and outside analysts watching the latest turn in Greece’s crisis.

Major U.S. stock indexes were lower on Monday by a little more than a percentage point. Yields on Treasury bonds fell and the dollar rose against the euro, indicating the typical push into U.S. securities in times of overseas stress – but not to such an extent it would waylay the Fed.

Jun 26, 2015

GE Capital, Senator Brown among April meetings for Fed Chair

WASHINGTON, June 26 (Reuters) – Federal Reserve Chair Janet
Yellen met with top executives from GE Capital prior to
the company’s move to shed financial assets, and she met with a
top Democrat who opposes legislation aimed at Fed reform, her
April calendar shows.

Yellen’s April calendar, released on Friday through a
freedom of information request, also included a gathering with
UBS Chairman Axel Weber and a meeting with European
Central Bank President Mario Draghi.

Jun 4, 2015

Fed’s Tarullo, BlackRock’s Fink cite bond market liquidity concerns

NEW YORK (Reuters) – Financial regulators are paying close attention to liquidity concerns surfacing across the U.S. bond market, a top Federal Reserve official said on Thursday.

Fed Governor Daniel Tarullo, the U.S. central bank’s top financial regulation official, said that while bond liquidity is a concern, the behavior of the market is not yet showing significant fluctuations in pricing.

Jun 3, 2015

Fed’s Bullard cites near-term economic concerns

LOUIS (Reuters) – A Federal Reserve official known as a policy hawk on Wednesday cited near-term concerns looming over the U.S. economy, adding his voice to a chorus of U.S. central bankers who are cautious about the economic outlook.

James Bullard, president of the St. Louis Federal Reserve, who has repeatedly said the U.S. central bank has been too patient in removing its accommodative monetary policy, struck a more cautious tone than he has previously. He pointed to weaker-than-expected consumer data such as retail sales as among worrying trends in the U.S. economy.

May 27, 2015

Fed’s Lacker says letting banks fail will restore market discipline

By Michael Flaherty

BATON ROUGE, La. (Reuters) – Policymakers must ensure that financial industry creditors do not expect government bailouts and must be willing to let firms fail in order to restore market discipline, a top Federal Reserve official said on Tuesday.

The remarks by Jeffrey Lacker, president of the Richmond Federal Reserve Bank, repeated much of what he has previously said about what regulators need to do to make the financial system safer. Lacker, a voting member this year on the Fed’s policy-setting committee, did not discuss monetary policy.

    • About Michael

      "In June 2009, Michael Flaherty became a Chief Correspondent for Reuters News, leading a team of journalists who cover investment banking, mergers & acquisitions, private equity and hedge funds, equity capital markets, natural resources and property across Asia. He arrived in Hong Kong in Feb. 2008 as Reuters' Asia Financial Services correspondent, covering the investment banks and M&A. Flaherty was hired by Reuters in New York in Dec. 2003. He was voted Reuters Journalist of the Year for his 2007 coverage of the U.S. private equity boom and bust. He started at Reuters with the consumer group covering office retailers ..."
      Joined Reuters:
      Dec. 1, 2003
      Peninsula Press Club, 2002, Reuters Journalist of the Year, 2007, M&A International, 2007
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