Regional leaders of the Federal Reserve have offered a mixed message about the future of the central bank’s second round of quantitative easing, suggesting that it could either be shortened or extended, according to Bloomberg. On Monday, Atlanta Fed President Dennis Lockhart said that an extension of the asset-purchase program was a possibility, although he said policymakers should be “very cautious” about doing so. Lockhart highlighted the need for officials to consider incoming economic data “with fresh eyes” before making each policy decision.
Meanwhile, the Fed’s Dallas President, Richard Fisher, said that he might vote against the completion of the asset-purchase plan. Fisher said, “I remain doubtful enough as to its efficacy that if at any time between now and June it should prove demonstrably counterproductive, I will vote to curtail or perhaps discontinue it.” The policymaker also said he would be against an extension of the program after it is completed “barring some frightful development.”
Click here to read the story on Lockhart’s comments from Bloomberg News.
Click here for coverage of Fisher’s comments from Bloomberg News.