Economics
Dudley Says Talk of Negative Fed Rates Is Very Premature
- New York Fed chief says U.S. economy is in `quite good shape'
- Market turmoil stems from weakness abroad, Dudley says
William C. Dudley.
Photographer: Scott Eells/BloombergThis article is for subscribers only.
The U.S. economy has the momentum to help weather stormy global financial markets and policy makers have many other options before they would consider driving borrowing costs below zero if they need to protect growth, Federal Reserve Bank of New York President William Dudley said.
“I just find that an extraordinarily premature conversation to be having,” Dudley said at a Friday in New York. “There are a lot of things that we would do long before we would really think about moving to negative interest rates.”