Fed’s Bullard Says Fiscal Uncertainty Should Delay Rate Hike
- Says there are downside and upside risks, so ‘why not wait?’
- Chicago Fed chief said later fiscal policy could boost growth
Citigroup Chief Economist Sees Two Fed Hikes This Year
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Federal Reserve Bank of St. Louis President James Bullard said the central bank ought not rush to raising interest rates next month because uncertainty over the Trump administration’s fiscal policies clouds the U.S. economic outlook.
“It is unlikely that fiscal uncertainty will be meaningfully resolved by the March meeting, which is only a few weeks away,” Bullard, who doesn’t vote on policy this year, told reporters Thursday after a speech at Washington University in St. Louis. “Why not wait until that gets resolved?”