Jefferson calls for cautious rate moves

Better balance: Jefferson speaks at an economic conference in Dallas, Texas. He cites resilient American consumer spending and a solid labour market as signs that downside risks has abated. — Reuters

NEW YORK: Federal Reserve vice-chairman Philip Jefferson says it’s appropriate for policymakers to be cautious in adjusting interest rates, as long as the economy and labour market remain strong.

“I continue to see a gradual reduction in the level of monetary policy restraint placed on the economy as we move towards a more neutral stance as the most likely outcome,” Jefferson said in remarks prepared for an event at Lafayette College in Easton, Pennsylvania.