Fed’s Bullard wants pause on rate hikes: interviews

JACKSON HOLE, Wyo. (Reuters) – The Federal Reserve should stop raising interest rates now because the economy is showing no signs of inflation surging and is expected to slow next year after the effects of fiscal stimulus wear off, St. Louis Fed President James Bullard said Friday.

“If it was just me I’d stand pat where we are and I’d try to react to data as it comes in,” Bullard told CNBC at an annual central bankers’ conference in Jackson Hole, Wyoming. “I just don’t see much inflation pressure.”

The Fed under Chair Jerome Powell has been raising rates and is expected to do so again when policymakers meet next month. Under the Fed’s rotating voting system for Fed regional bank presidents Bullard does not have a vote this year, but he participates in rate-setting discussions.

Bullard told Bloomberg TV in a separate interview that the Fed should not challenge the flat yield curve by raising rates, which could lead to short-term borrowing costs rising above long rates, a signal of recession.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.