— Updating 01:00 EDT Story Throughout With Further Comment, Detail
BEIJING (MNI) – Chicago Federal Reserve President Charles Evans
said Thursday he remains a staunch advocate of more accommodative
policy, arguing that recent payrolls data haven’t been good enough and
that another round of quantitative easing would provide confidence to
the markets.
Evans told reporters at a briefing here that July’s 163,00 increase
in non-farm payrolls was better than expected but said the U.S. economy
will need to add “300,000 to 400,000 jobs a month to get back to where
we need to be.”
While some monetary easing policy has been put into place, the US
economy’s performance has been unsatisfactory and “can do better,” Evans
said, stressing that inflationary pressures remain modest.
“The hurdle is not very high for more accommodative policy,” he
said.
Evans also said near-zero interest rates will be needed for as long
as unemployment remains above 7%.
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