Fed's Bullard: Policy in great shape right now but could make adjustments if needed

Eren Sengezer FXStreet

The US Federal Reserve's monetary policy is "in great shape" at the moment but adjustments could be made if needed, St. Louis Federal Reserve President James Bullard said on Thursday, as reported by Reuters.

Additional takeaways

"Fed in various credit markets as backstop buyers to allow markets to work, not to influence market pricing."

"Outsized federal deficits, growing economy, and quiescent Fed raise the likelihood of higher inflation."

"The US is over the hump on the need for fiscal policy, though some pockets of the economy may need more help."

Market reaction

The US Dollar Index showed no immediate reaction to these comments and was last seen gaining 0.02% on the day at 94.37.

Author

Eren Sengezer

FXStreet

As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.

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