ITHACA, N.Y., Oct 25 (Reuters) - If inflation expectations fall too low, there is a risk of a deflationary environment starting to take hold, a top Federal Reserve policymaker said on Monday.
William Dudley, president of the New York Fed, said in response to an audience question after giving a speech at Cornell University that it was not clear how much more the Fed would gain from having an explicit inflation target. The U.S. central bank already has an implicit target.
(Reporting by Kristina Cooke, Editing by Chizu Nomiyama) Keywords: USA FED/DUDLEY INFLATION (kristina.cooke@thomsonreuters.com; +646 223 6154) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.
William Dudley, president of the New York Fed, said in response to an audience question after giving a speech at Cornell University that it was not clear how much more the Fed would gain from having an explicit inflation target. The U.S. central bank already has an implicit target.
(Reporting by Kristina Cooke, Editing by Chizu Nomiyama) Keywords: USA FED/DUDLEY INFLATION (kristina.cooke@thomsonreuters.com; +646 223 6154) COPYRIGHT Copyright Thomson Reuters 2010. All rights reserved. The copying, republication or redistribution of Reuters News Content, including by framing or similar means, is expressly prohibited without the prior written consent of Thomson Reuters.