Economics
Fed’s Kaplan Calls for Gradual, Balanced Bond Tapering Soon
- Advocates Treasuries, MBS pulled back together in lockstep
- Dallas Fed chief speaks on Bloomberg podcast before jobs data
Robert Kaplan
Photographer: Christopher Goodney/BloombergThis article is for subscribers only.
The Federal Reserve should start tapering its asset purchases sooner rather than later and in a gradual manner, Dallas Fed President Robert Kaplan said, arguing that the massive bond-buying is leading to excessive risk-taking.
“I would be supportive of adjusting these purchases soon, but once we start the adjustment process, I would probably prefer to have it be more gradual,” Kaplan said in an interview this week with Joe Weisenthal and Tracy Alloway on Bloomberg’s “Odd Lots” podcast.