New Fed Purchases Unwarranted as Economy Quickens, Bullard Says

A new round of Federal Reserve bond purchases isn’t warranted because the U.S. job market and broader economy are strengthening faster than expected, according to St. Louis Fed President James Bullard.

“The economic news and economic data, including today’s data, has been surprising to the upside,” Bullard said yesterday, referring to employment gains. “I need to see significant deterioration in the economy and some threat of deflation or inflation moving significantly below our inflation target before” backing more bond buying by the Fed, he said in a Bloomberg News interview.