Larry Summers says Fed Inaction is Not Political

The Federal Reserve has been reluctant to raise interest rates for only the second time in a decade, not because of political bias but because the economy isn’t ready, former Clinton Treasury Secretary Larry Summers told CNBC on Wednesday.

Summers said GOP presidential nominee Donald Trump’s suggestions that Fed Chair Janet Yellen is keeping rates steady to burnish the legacy of President Barack Obama by not jolting the economy are “ludicrous.”

Yellen is the “least political person” in Washington, Summers said.

via CNBC

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Alfonso Esparza

Alfonso Esparza

Senior Currency Analyst at Market Pulse
Alfonso Esparza specializes in macro forex strategies for North American and major currency pairs. Upon joining OANDA in 2007, Alfonso Esparza established the MarketPulseFX blog and he has since written extensively about central banks and global economic and political trends. Alfonso has also worked as a professional currency trader focused on North America and emerging markets. He has been published by The MarketWatch, Reuters, the Wall Street Journal and The Globe and Mail, and he also appears regularly as a guest commentator on networks including Bloomberg and BNN. He holds a finance degree from the Monterrey Institute of Technology and Higher Education (ITESM) and an MBA with a specialization on financial engineering and marketing from the University of Toronto.
Alfonso Esparza