Robert Kaplan, president and CEO of the Federal Reserve Bank of Dallas.
- amount of negative yielding debt in the world shows pessimism about growth and a need for change in the world towards more fiscal policy and structural reform
- repo crunch last week shows system needs more liquidity, expects Fed to examine the future path of the balance sheet
- repo problems last week are not indicative of broader stress but it's "critical" the overnight financing market works smoothly
says he feels current policy setting is "on the margin" of being a little accommodative
says is being agnostic about whether or not more rate reductions will be needed. keeping an open mind.
Kaplan on repo turmoil. I love how suddenly everyone is an expert on the repo market.
Oh wait, he's a Fed Reserve President. OK, fair enough, my bad :-D
