Skip to content
Subscriber Only

Plosser, Bullard Say Fed’s Asset Purchases Contingent on Jobs

Two Federal Reserve regional bank presidents said a decline in unemployment may prompt a halt to $85 billion in monthly bond purchases, speaking a day after the Fed indicated it may end the buying as early as this year.

Philadelphia Fed President Charles Plosser said yesterday the unemployment rate may fall to 6.8 percent to 7.0 percent by year end, which he said would meet the “substantial progress” required to stop purchases. A drop in joblessness near 7 percent could lead to an end to the Fed bond buying, said St. Louis Fed President James Bullard, who votes on policy this year.