Bullard remains confident of US economic outlook
Federal Reserve Bank of St. Louis President James Bullard said he remains confident in the US and world economic outlook even as oil prices dropped to the lowest level since 2009.
"I know there are a lot of worries about global growth, a lot of it coming from China," Bullard, who votes on monetary policy next year, said Friday in a SiriusXM Business Radio interview. "I would probably be more sanguine than the market in that dimension." He also said the Fed doesn't react directly to equity markets, as the Standard & Poor's 500 Index headed toward its worst week in three years. Fed officials showed concern about stubbornly low inflation even as they indicated that an improving job market is bringing them closer to the first interest-rate increase in almost a decade, according to minutes of the July 28-29 Federal Open Market Committee meeting released this week. "On the growth side, the outlook is relatively good" and the expansion in second half is likely to be "above trend," Bullard said.