Bullard Calls Raising Rates Unwise as Inflation Falls Short
- St. Louis Fed leader cites declining inflation expectations
- Asset-price bubbles aren't a worry amid turmoil, he adds
FOMC Minutes Show Fed Fears
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Federal Reserve Bank of St. Louis President James Bullard said recent financial-market turmoil and a further decline in investors’ expectations for inflation have given the central bank scope to delay interest-rate increases.
“I regard it as unwise to continue a normalization strategy in an environment of declining market-based inflation expectations,” Bullard, who votes on the policy-setting Federal Open Market Committee this year, said in a speech Wednesday in St. Louis.