The US economy should prepare for a period of very low interest rates as well as the expansion of the central bank’s balance sheet, Chicago Federal Reserve Bank President Charles Evans said on Friday, as reported by Reuters. Additional takeaways “Downward bias to inflation expectations from proximity to zero lower bound is a serious problem.” “It will likely take years to get US inflation up to 2% on average; the policy will be accommodative for a long time.” “Interest rates will stay low for long period, Fed will likely continue asset purchases for a while as well.” “Fed should not rush to raise rates unless inflation threatens to be uncomfortably high.” “Fed policy should not put benefits of strong labor market at risk if inflation is quiescent.” Market reaction The US Dollar Index largely ignored these comments and was last seen losing 0.2% on the day at 89.75. FX Street FX Street FXStreet is the leading independent portal dedicated to the Foreign Exchange (Forex) market. It was launched in 2000 and the portal has always been proud of their unyielding commitment to provide objective and unbiased information, to enable their users to take better and more confident decisions. View All Post By FX Street FXStreet News share Read Next GBP/USD drops further under 1.3600 amid risk aversion and new restrictions in UK FX Street 11 months The US economy should prepare for a period of very low interest rates as well as the expansion of the central bank's balance sheet, Chicago Federal Reserve Bank President Charles Evans said on Friday, as reported by Reuters. Additional takeaways "Downward bias to inflation expectations from proximity to zero lower bound is a serious problem." "It will likely take years to get US inflation up to 2% on average; the policy will be accommodative for a long time." "Interest rates will stay low for long period, Fed will likely continue asset purchases for a while as well." "Fed should not rush… Top Forex Brokers All Brokers Sponsored Brokers Broker Benefits Min Deposit Score Visit Broker 1 $100T&Cs Apply 0% Commission and No stamp DutyRegulated by US,UK & International StockCopy Successfull Traders 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 2 T&Cs Apply 9.8 Visit Site FreeBets Reviews$100Your capital is at risk. 3 Recommended Broker $100T&Cs Apply No deposit or withdrawal feesTrade major forex pairs such as EUR/USD with leverage up to 30:1 and tight spreads of 0.9 pips Low $100 minimum deposit to open a trading account 9 Visit Site FreeBets ReviewsYour capital is at risk. 4 T&Cs Apply Visit Site FreeBets ReviewsYour capital is at risk. 5 Recommended Broker $0T&Cs Apply Trade gold, silver, and platinum directly against major currenciesUp to 1:500 leverage for forex trading24/5 customer service by phone and email 9 Visit Site FreeBets ReviewsYour capital is at risk.
