Robert Kaplan, the new head of the Dallas Federal Reserve Bank

  • Says he supported the Federal Reserve's December interest rate hikes
  • Says there are costs to keeping policy easy for too long
  • He expects more bouts of financial market volatility
  • Sees US GDP growing 2 pct to 2.5 pct in 2016
  • Expects US job growth to drive down jobless rate in 2016
  • Confident US inflation will rise to 2 pct by end of 2017
  • China's growth likely to slow, creating potential headwind to US, global economies
  • Global excess oil inventories likely won't fall until 2017
  • Prospect of oil exports from iran adds uncertainty, hurts prices
  • US oil production declines have been slow to materialize
  • Expects continued low oil prices, volatility

Headlines via Reuters

"I agree with, and argued for, the decision made in December by the (Fed) to increase the federal funds rate," Kaplan said in remarks prepared for delivery to the Dallas chapters of Financial Executives International, the Association for Corporate Growth and the National Association of Corporate Directors. "If we delay further normalization until we actually see evidence of excessive accommodation, there is a risk that we will have waited too long."

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Kaplan's comments contained in a speech prepared for delivery to the Dallas chapters of Financial Executives International, the Association for Corporate Growth and the National Association of Corporate Directors
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Robert Kaplan, new president & CEO of the Federal Reserve Bank of Dallas