January 8, 2018 / 7:27 PM / 12 days ago

Bostic: Fed should be cautious if yield curve continues to flatten

ATLANTA, Ga (Reuters) - Atlanta Federal Reserve bank president Raphael Bostic joined in warning that a flattening yield curve should be treated cautiously, and the central bank should avoid actions that could lead it to invert.

“I am going to do all I can to make sure our policy does not invert the yield curve explicitly. We will be watching that,” Bostic said on Monday. “If we got close to it I would argue strongly that we should be extremely cautious” with further rate increases. He said his “base case” was for two to three rate increases in 2018, compared to a median of three among his colleagues.

Reporting by Howard Schneider; Editing by Andrea Ricci

0 : 0
  • narrow-browser-and-phone
  • medium-browser-and-portrait-tablet
  • landscape-tablet
  • medium-wide-browser
  • wide-browser-and-larger
  • medium-browser-and-landscape-tablet
  • medium-wide-browser-and-larger
  • above-phone
  • portrait-tablet-and-above
  • above-portrait-tablet
  • landscape-tablet-and-above
  • landscape-tablet-and-medium-wide-browser
  • portrait-tablet-and-below
  • landscape-tablet-and-below