Michael S. Derby

speaker
50 appearances 1 recordings 1 series first heard Jan 2019 last heard Jan 2019

Michael S. Derby’s voice in public audio — every appearance, attributed to the second.

Trend

recordings per month · last 12 months
No recordings in the last 12 months.Older appearances are listed below; set an alert to hear about the next one.

Appearances

newest first · ▶ plays the moment
WSJ Your Money Briefing · Fed Members Leaning Away From Interest Rate Increases · 10 Jan 2019 podcast
Yeah, Mr. Bullard has long, actually for several years, been arguing against interest rate rises, believing that if there's not that much inflation pressure in the economy and basically the overall inflation gauges show that inflation has been at best at the Fed's 2% target, but mostly below it.
There's basically – he hasn't really seen any justification for raising rates.
And so what's happened is what he fears now is if the Fed does go forward with more interest rate rises, he's worried that that might actually be the thing that – he doesn't specify how many rate rises it would need to be.
But he's worried that continuing to do interest rate increases could actually send the economy into recession.
And what's been interesting about where Mr. Bullard is because, as I suggested, he's been opposed to these rate rises for a long time.
Over the last few days, a number of Fed officials have shifted in his direction.
And that caution that you know, that that uncertainty about the outlook you alluded to in your opening, that's caused a whole bunch of Fed officials to also go and say, like, hey, maybe it's time to be patient.
You know, we have the collective assessment is for two rate rises this year.
But now you see Fed officials saying we've got a while to take stock of things, see if the market view is right, see if our view is right.
So another Fed official who had been actually fairly hawkish, Boston Fed leader Eric Rosengren, for quite some time he talked about how he wanted more interest rate rises than all of his colleagues.
Even today in his speech today, he backed off and said, we have time to be patient and take stock before we do anything else.
Yeah, and there's even another Fed official saying,
The Chicago Fed President Charles Evans, who's also getting a voting role in the FOMC this year, like Mr. Rosengren, Mr. Evans has been pretty hawkish for quite a while about monetary policy.
And he also reiterated the message that we have nothing that is pushing us to do anything right now, so let's just be patient.
and take stock before we decide whether or not we need to raise rates again.
You know, bottom line for Mr. Rosengren and for Mr. Evans, they still remain fairly optimistic about the outlook, and they still do think at some point, they do seem to lean that the Fed's going to be able to do it.
Mr. Bullard has consistently placed a lot of emphasis on market-based indicators of the economy.
When he's trying to look forward and figure out what the economy is going to do, there's all sorts of different ways you can do that.
You can look at surveys that economists have made, all sorts of things like that.
Well, what Mr. Bullard likes to do is look at what markets are pricing for in the future.
Showing 1–20 of 50 · page 1 of 3 Next →