Rosengren is president and CEO of the Federal Reserve Bank of Boston
Comments come via an interview he had with Reuters:
- labor market could be stagnant for the next couple months until we have much more widespread vaccinations
- says economy could face significant weakness in the near term as virus infections and hospitalizations rise
- arrival of effective vaccines and outlook for more fiscal support are positive longer run tailwinds
- a fiscal program that provides grants to struggling businesses might be the best way to provide support
- some banks weren't willing to take risk through main street lending program
- future need for emergency lending programs from fed would depend on what happens with pandemic and vaccinations
- mid-sized companies could need more lending support in scenario where vaccine is not effective
- he has had routine conversations with incoming Biden administration about structure of emergency lending facilities
