NEW YORK: The new tools the Federal Reserve used to pry US interest rates up from near zero in December could not have worked better, the US central bank's top market technician said on Wednesday.
"Although we don't know yet whether the interest rate control exhibited to date with the new tools will continue at different settings of the target range, so far, things have gone as well as could have been expected," Simon Potter, head of the New York Fed's markets group, said in a speech.
The Fed used two new and lightly tested tools - interest on excess bank reserves, and an overnight reverse repurchase facility - to help it raise rates by 0.25 percent point, the first US policy tightening in nearly a decade.
It has since left rates unchanged.
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