Prudent to edge Fed policy back to normal – Fed’s Bullard

FXStreet (Mumbai) - St Louis Fed President Bullard was on the wires stating there is no reason to continue “extreme” monetary policy and it is prudent to edge Fed policy back to normal.

Key Quotes

5% jobless rate is close to unemployment

Fed's goals have been met by some measures

Policy should return to 1984-2007 macroeconomic setting

Possibility of US entering a period of permanently lower inflation and rates

Zero rates and low expectations may have anchored inflation at permanently low levels

"Realistic possibility" that industrialized countries could face rates stuck near zero