Dudley Says Hurricanes May Have Temporary Effect on Hike Timing
- Doesn’t expect storms to delay Fed decision on balance sheet
- New York Fed chief upbeat on economy’s underlying trajectory
Fed's Dudley Backs Rate Hikes
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Federal Reserve Bank of New York President William Dudley said back-to-back hurricanes in the third quarter could temporarily influence the timing of the next interest-rate increase, although above-trend growth does warrant continued gradual rate hikes.
With Texas just starting to recover from Hurricane Harvey and southern Florida bracing for Irma, Dudley told CNBC in an interview that “it’s possible they could have effect on the timing of short-term rate increases. But I think that’s probably further out anyway.”