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Neel Kashkari, chairman of the Minneapolis Fed, said on Thursday that the US Federal Reserve had made a mistake by raising interest rates during the rally, inscribing it as part of a policy that misinterpreted key signals and threatened to put the economy in recession In an unusually harsh rebuke of central bank shares, Kashkari said the central bank should not have tightened its monetary policy with a inflation as low. Instead, he said, the Federal Committee for Open Market Monetary Policy should indicate that it will allow inflation to exceed the target rate of 2%, which would clearly indicate that the Fed really wants to stimulate the economy. The … (full story)
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