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Fed's Bies on the Federal Reserve and the economy

In a speech on 'The Federal Reserve System and the economy' given on 23 October Susan Schmidt Bies of the Federal Reserve said the Fed will keep an eye on how much surging oil costs affect consumer prices but said she expects underlying inflation to remain relatively contained.

This should let the Fed maintain a course of gradual steps to lift interest rates to more normal, or 'neutral', levels.

"Businesses are also in good financial shape, having experienced a dramatic improvement in recent

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