Fed's Bullard Still Favoring December Rate Hike After Election

By Victor ReklaitisMarketsMarketWatch Pulse

St. Louis Federal Reserve President James Bullard said Wednesday that he still is inclined to support an interest-rate rise next month, according to a Wall Street Journal report on a speech he gave in London. Bullard said the short-term outlook for monetary policy is unchanged following Donald Trump's win in the White House race. "A single policy rate increase, possibly in December, may be sufficient to move monetary policy to a neutral setting," Bullard said in the speech at an event hosted by UBS Group AG. The Fed official last week said Trump's win should break the gridlock in Washington, adding that he's not concerned about the central bank's independence becoming curtailed.

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