Robert Kaplan is president of the Federal Reserve Bank of Dallas
He is speaking as part of a Q&A event at the Dallas Security Traders Association
- Says each regional Federal Reserve branch has its own views on GDP, unemployment. The divergences between the regional views is not that great.
- Expects US GDP to grow 1.75 to 2% this year, driven by consumer spending
- We need action to increase the size of the workforce through immigration and vocational training
- Making good progress on getting to full employment, lagging on meeting the Federal Reserve's inflation target
- US economy is not overheating
- We need structural reform, fiscal policy to grow faster
- Starting in 2017 the future looks 'reasonably good' for energy, oil
- Says world will need to get used to slower China growth
- Could have periods of crisis in China that tightens financial market conditions elsewhere
- Says Fed should use policy tools judiciously, monetary policy has limits
- Low rates create distortions, do not want to continue with them indefinitely
- Does not want to speculate on what meeting the Fed will raise rates
- Does not see enough uncertainty reflected in trade of US stocks and debt
Headlines via Reuters
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Adam had remarks from Kaplan earlier on Friday (US time) here: Fed's Kaplan: Repeats that Fed can afford to be patient
Hello ForexLive - have a great weekend!