Fed's Kohn:Rate-hike "burden of proof" not yet met

In a speech on 'Monetary Policy and Imbalances' given on 1 April, Donald Kohn of the Federal Reserve rejected the argument that the Fed should start raising rates sooner rather than later because "keeping the funds rate so low and signalling that it will remain that way for a while is sowing the seeds for different kinds of future problems".

Speaking in Pennsylvania, Kohn said policymakers must take into account the impact of the 1 per cent Federal funds target rate on asset prices. But he said

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