Fed Policy to Stay 'EASY' For Very LONG Time #Fed #QE $GS $BAC $C $MS
The Federal Reserve's "very aggressive" easy money policy is going to stay that way for a "long time," St. Louis Fed President James Bullard told CNBC on Friday.
"This is a monetary policy that packs a punch," said Bullard, who's a voting member on the Federal Open Market Committee (FOMC).
Uncertainty about the future of the central bank's bond-buying program has weighed on the stock market in recent days.
But the St. Louis Fed president said in Friday's "Squawk Box" interview, "I think policy is much easier than it was last year because the outright purchases are more potent tool than the 'Twist' program was … I don't think markets have fully absorbed that switch."
Bullard added, "Fed policy is very easy and it's going stay easy for a long time."
On Wednesday, the FOMC released minutes of its January meeting, which said "many participants" expressed concerns about "potential costs and risks arising from further asset purchases."