Bloomberg the Company & Products

Bloomberg Anywhere Login

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Fed Governor Duke Says Coordinated Policy Usually Not Optimal

Don't Miss Out —
Follow us on:

July 20 (Bloomberg) -- Federal Reserve Governor Elizabeth Duke said monetary policy coordination among central banks is usually not ideal and each central bank must have tools to carry out objectives independent of its counterparts.

“While central banks may benefit from coordination and cooperation, taking the same policy stance at the same time typically will not be the best choice for all central banks,” Duke said today in remarks prepared for a speech in Mexico City.

The Fed and five other major central banks reduced interest rates in October 2008 in response to economic weakness and have cooperated on financial regulation, including raising international bank capital standards, Duke said. Since then, the economies of the various nations have rebounded at different rates, prompting different monetary policies.

“It is imperative for each central bank to have monetary policy tools to appropriately address domestic objectives independent of the actions of other central banks,” Duke said to the Center for Latin American Monetary Studies 60th Anniversary Conference.

The Fed official didn’t comment on the outlook for the U.S. economy or monetary policy.

To contact the reporters on this story: Steve Matthews in Atlanta at smatthews@bloomberg.net;

To contact the editor responsible for this story: Christopher Wellisz at cwellisz@bloomberg.net

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.