Charles Evans, the President of Chicago Fed, said in his CNBC statement today that he thinks it would take quite some time before the company will start to increase interest rates from their close to zero levels.
He added that Fed sees June of 2015 as a good time to have the first increase of rates, but if he’s the one to decide, he’d rather be more patient and wait a little longer. Charles Evans feels that the risks should be balanced first and there should be considerations given that at times it’s very difficult for economies to recover from zero rates.
President Charles Evans of Fed is one of the company’s dovish regional chiefs and while he’s not voting this year on the policy making board on Central Bank, he’s sure is voting next year being a 2014 alternate.
While he said that he’s confident about the U.S. economy’s growth and that it will continue to get stronger, he wants to see to it that the economy has been already strong enough prior to increasing rates. Also, he wants to see that the Federal Reserve would meet its 2% inflation rate target saying that he is more than willing to overshoot inflation modestly if it means that he’ll be providing more job opportunities for Americans.
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