St. Louis Fed President James Bullard said bluntly that Fed has come to the “end of the road” on the current rate hike cycle. He warned that “I am concerned we are on the precipice of a policy mistake”. And, “what I don’t want to do is project that further increases are needed, that we are somehow short of our goal.”
Bullard also urged that Fed should listen to the markets more carefully and seriously. He added “the market’s almost always right in that situation, and it’s the Fed that’s been wrong.” He criticized the December rate hike as a “overreach” which he argued against. But back then, he didn’t have a vote on the FOMC. Bullard is a voter this year.
