Fed's Kaplan: September meeting would be time to announce plan for tapering
Dallas Fed President Robert Kaplan told CNBC on Thursday that it is still his view that at the September policy meeting, it would be time to announce a plan for tapering and start in October or shortly thereafter, as reported by Reuters.
Additional takeaways
"By and large, business contacts are weathering Delta at least as well as previous surges."
"Businesses are seeing resiliency."
"Consumers and businesses are becoming more adaptable and accepting surges will go in fits and starts."
"Businesses and consumers are learning to adapt and go on with their lives amid Delta."
"There is no demand problem in the economy, strong economic resiliency is his outlook."
"There are some distortions in the economy particularly in credit markets."
"US would be a lot healthier if Fed begins to wean economy off asset purchases."
"Credit spreads are historically tight."
"Fed has communicated a taper is coming."
"Would prefer to start taper soon but do it over "plus or minus" eight months, although I remain open-minded."
Market reaction
The greenback remains resilient against its rivals following these comments. As of writing, the US Dollar Index was up 0.26% on the day at 93.06.
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.
