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EMERGING MARKETS: Fed's Musalem - Time May be Nearing for Lower Rates

EMERGING MARKETS
  • MNI - St. Louis Fed President Alberto Musalem said Thursday the time could be nearing for the Federal Reserve to reduce interest rates as inflation continues to fall and the job market no longer looks overheated.
  • "The time may be nearing when an adjustment to moderately restrictive policy may be appropriate," he said, a shift in tone for an official who until recently remained skeptical of the need for near-term rate reductions.
  • "Absent further shocks the economy, inflation seems to have returned to a path consistent with 2% over time," he said.

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