Lockhart Expects Fed to Use Reverse Repos During Stimulus Exit
This article is for subscribers only.
Federal Reserve Bank of Atlanta President Dennis Lockhart said he expects the central bank will use a reverse-repurchase program when it eventually begins to tighten monetary policy.
“I am confident reverse repos will be among our tool bag and will therefore may very well have a role in how we try to influence short-term interest rates,” Lockhart said to reporters yesterday after a speech in Dubai. He doesn’t vote on policy this year.