Kocherlakota Would Need ‘Materially’ Worse Data to Extend QE

Federal Reserve Bank of Minneapolis President Narayana Kocherlakota said the U.S. economy would have to “worsen materially” for the central bank to consider extending its second round of bond purchases past June.

“I am not one who would say that I would remove all possibility of further easing, but that would require conditions to worsen materially from what I forecast,” Kocherlakota told reporters today at an event in Marseille, France. “If the economy evolves the way I forecast, I would not foresee us doing further accommodation.”