Fed Members Signal Economy is Stalled

In the latest sign yet that those with the most data on the economy have very little confidence in the recovery, CNBC reports that Federal Reserve officials are seriously considering giving the US economy—and especially the housing market—an added jolt with more quantitative easing.
Fed officials are likely to discuss such a move at their Jan. 24-25 meeting, when the central bank will issue its first quarterly forecast on interest rates under the new communication policy. Two of the new voting members this year on the Federal Open Market Committee, which sets interest-rate policy, have recently suggested they would support more assets purchases.

San Francisco Fed President John Williams said that sustained high levels of unemployment, as forecast by many Fed members, "does make an argument that we should have more stimulus." Another new voter, Cleveland Fed President Sandra Pianalto, said in a recent speech that economic models indicate the Fed "should be even more accommodative than it is today." Read full story here: News New Mexico

Fed Members Signal Economy is Stalled