Atlanta Fed President Raphael Bostic said work continues at the Fed and “at this stage everything is on the table” regarding coronavirus responses. He warned that the challenges are going to be “acute and are going to come fast,” for restaurants, bars and other small firms.
Philadelphia Fed President Patrick Harker said the current coronavirus outbreak “in some ways is the proverbial black swan.” “The suffering and fear that is across the world, not just in this country, it’s palpable, it’s real.” He urged central banks to do what they can to stimulate the economy and keep markets functioning.
Minneapolis Fed President Neel Kashkari said Fed is “not at the front line” of the fight against coronavirus. He added, “but we do have a job to do and we are using our tools aggressively to try to make sure the financial system is ultimately working.” He also rejected the idea that Fed could save the rate cuts for later use. “The notion that we should save our cuts for later is a colorful metaphor, but it’s just flat-out wrong.” Meanwhile, he said “I don’t think there’s much interest in going below zero.”
