Fed’s Evans Comfortable with Asset Purchases Pace

The President of the Federal Reserve Bank of Chicago, Charles Evans, said on Friday that he is comfortable with the current pace of the bond-buying program by the Fed, Reuters reported.

“I am not opposed to more accommodation – I’m just not exactly sure what the right timing is.”

“I don’t necessarily see a need for any changes at the moment.”

“It could be the case that we just need more nominal accommodation, more monetary accommodation and that could mean the size of our balance, how we are taking duration out, is far more important than many of us have been arguing in the last several months and even years.”

“I worry a little bit that since we struggled so mightily to get inflation above 2% … maybe the balance sheet needs to be substantially larger … It could be that there’s something much bigger that’s required in order to get inflation up above 2%.”