February 7, 2018 / 11:49 AM / 16 days ago

Fed should reduce accommodation to fight 'excesses': Kaplan

FRANKFURT (Reuters) - The Federal Reserve should gradually reduce its accommodation as an overly tight labor market raises the risk of “excesses” building up in the economy, Dallas Fed President Robert S Kaplan said in Frankfurt on Wednesday.

“If you have significant enough overshoot of full employment, history shows that usually other excesses and imbalances build,” Kaplan, a non-voting member of the Fed’s policy committee, told an event.

“It’d be wise for us to be removing accommodation, although in a patient and gradual manner.”

Reporting By Francesco Canepa; Editing by Balazs Koranyi

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