Tags: federal reserve | dennis lockhart | taper | easing

Fed's Lockhart Calls for Setting Timetable for Tapering QE

Thursday, 05 December 2013 08:43 AM

Federal Reserve Bank of Atlanta President Dennis Lockhart, a backer of record stimulus, said the Fed when considering tapering $85 billion in monthly bond buying should announce a total limit on purchases or a timetable for dialing down the program.

“If and when the FOMC arrives at a decision to wind down asset purchases, it’s my view that it will be helpful to the transition process to provide as much certainty as possible about how this will be done,” said Lockhart, referring to the Federal Open Market Committee, in a speech in Fort Lauderdale, Florida. He doesn’t vote on policy this year.

The FOMC will consider reducing bond buying in coming months based on expected gains in the labor market, according to minutes from the committee’s October meeting. The panel is scheduled to meet Dec. 17-18.

The U.S. economy added 185,000 jobs last month and the unemployment rate fell to 7.2 percent from 7.3 percent, according to the median estimate in a Bloomberg News survey of economists before a government report tomorrow.

Lockhart said he is among FOMC participants who favor announcing a “total size of remaining purchases or a timetable for winding down the program.” He spoke to Broward Workshop, a local business group.

“I am among those who see merit in this approach as long as the economy follows roughly the path we expect,” he said. “Once the decision is made, I favor providing the public as much clarity and certainty as possible about how the change will be executed.”

© Copyright 2019 Bloomberg News. All rights reserved.

   
1Like our page
2Share
StreetTalk
Federal Reserve Bank of Atlanta President Dennis Lockhart, a backer of record stimulus, said the Fed when considering tapering $85 billion in monthly bond buying should announce a total limit on purchases or a timetable for dialing down the program."If and when the FOMC...
federal reserve,dennis lockhart,taper,easing
252
2013-43-05
Thursday, 05 December 2013 08:43 AM
Newsmax Media, Inc.
 

Newsmax, Moneynews, Newsmax Health, and Independent. American. are registered trademarks of Newsmax Media, Inc. Newsmax TV, and Newsmax World are trademarks of Newsmax Media, Inc.

NEWSMAX.COM
MONEYNEWS.COM
© Newsmax Media, Inc.
All Rights Reserved