Richard Fisher, president of Federal Reserve Bank of Dallas, said Friday that the Fed will aid other economies by boosting U.S. growth and focusing on its mandate to ensure full employment and stable prices.
“If we’re strong, others will benefit from it,” Fisher, who votes on monetary policy in 2014, said in a speech in Fort Worth.
Policymakers this week made a second-straight cut in bond buying, with the Federal Open Market Committee reducing monthly Treasury and mortgage bond purchases to $65 billion from $75 billion, citing gains in the labor market.
India central bank Governor Raghuram Rajan warned Thursday of a breakdown in global-policy coordination after the Fed further cut stimulus, weakening emerging-market currencies from the rupee to the Turkish lira.
Rajan, a former chief economist at the International Monetary Fund, called for greater cooperation among policymakers. The Fed’s Jan. 29 statement made no mention of developing economies.
Business, Pages 30 on 02/01/2014