Fed's Kaplan (2023 voter) says he does not see anything at the point that would cause him to materially change his outlook, by and large his business contacts are weathering Delta at least as well as previous surges
- The US would be a lot healthier if the Fed begins to wean the economy off of asset purchases
- Credit spreads are historically tight
- Has communicated that a taper is coming
- No demand problem in the economy, strong economic resilience is his outlook
- Wants to start taper 'soon' but do it 'gradually', over +/- eight-months
Analysis details (15:40)
- On August 20th Kaplan said that they would have to adjust policy views accordingly if Delta was persistent or stated to affect demand (link). However, today's commentary is seemingly less-cautious from the 2023 voter and perhaps more in-fitting with his views prior to that August 20th update.
26 Aug 2021 - 15:37- Important- Source: CNBC
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