At least one Federal Reserve member doesn’t think last week’s jobs report is reason enough for the Fed to put its tapering plans on hold.
San Francisco Federal Reserve President John Williams said Monday that one month’s job numbers won’t make or break Fed policy, and said he felt the central bank will still begin to unwind its purchases of bonds and mortgage-backed securities later this year as planned.
“It’s really important for us to not [read too much] into one month’s data, whether strong or weak,” Williams said at a press conference at the annual meeting of the National Association for Businesses Economics. “The latest data is consistent with forecasts of gradual improvement. I’m still 100% on board with Chairman Bernanke’s timeline.”
Fed Chairman Ben Bernanke has said the central bank will begin to “taper” its $85 billion a month in asset purchases as the labor market improves. He predicted that would be sometime toward the end of this year.
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