Fed’s Musalem Warns Against Easing Too Quickly, Prefers Patience
- Supported half-point cut but further moves should be ‘gradual’
- St. Louis chief penciled in policy path slightly above median
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Federal Reserve Bank of St. Louis President Alberto Musalem said he supported the US central bank’s decision last month to lower interest rates by a half point, but emphasized he’d prefer further reductions to be gradual.
Musalem said he penciled in a rate path that was slightly higher than the median official in the Federal Open Market Committee’s Summary of Economic Projections released last month, but he would not prejudge the scale or pace of future rate moves.