Dudley Sees Fed Rate Rise by Year-End If Data on Track
- Dudley says he sees no urgency for aggressive tightening
- New York Fed chief sees central bank close to its objectives
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Federal Reserve Bank of New York President William Dudley repeated that he expects an interest-rate increase by the end of 2016, as the central bank draws closer to reaching its twin objectives of maximum employment and 2 percent inflation.
“I do expect to see an increase later this year,” Dudley said Wednesday in response to an audience question after giving a speech in New York, adding that his forecast depends on the economy staying on its current trajectory. “There is not a lot of urgency to tighten monetary policy aggressively because we don’t have an inflation problem.”