Fed’s Lockhart questioning September taper

Atlanta Fed President Dennis Lockhart — who is a middle-of-the-road Fed member — is raising questions about a September taper in an interview with MNI.

  • Tapering ‘early as September’ but not necessariliy
  • Curtailing QE not definite if economy ‘moping along
  • Wouldn’t rule out tapering at October FOMC
  • No reason why Bernanke couldn’t call Oct press conference
  • Bond yields now reflect ‘optimistic’ economic outlook

Dovish comments that crossed a short time ago and have been weighing on the dollar.

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