Lockhart Says Fed Shouldn’t Rule Out More Asset Purchases

Federal Reserve Bank of Atlanta President Dennis Lockhart said the central bank shouldn’t rule out asset purchases beyond the $600 billion planned by June because turmoil in the Middle East risks causing a slowdown in the U.S.

“With the information I have today, my first inclination is to be very cautious about extending asset purchases after June,” Lockhart said today in a speech in Arlington, Virginia. “Given the emergence of new risks, however, I prefer a posture of flexibility as regards policy options.”