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MNI BRIEF: Fed's Bullard Sought Half Point Hike, Asset Runoff

(MNI) Washington

St. Louis Fed President James Bullard said Friday he dissented against the Fed's decision to raise interest rates just a quarter point because he wanted a more aggressive half point move, in addition to balance sheet reduction, to contain U.S. inflation that is now far above the central bank's 2% target.

"In my view, raising the target range to 0.50% to 0.75% and implementing a plan for reducing the size of the Fed’s balance sheet would have been more appropriate actions," Bullard said in a statement.

MNI Washington Bureau | +1 202 371 2121 | pedro.dacosta@marketnews.com
MNI Washington Bureau | +1 202 371 2121 | pedro.dacosta@marketnews.com

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