Salient to Investors:
FRB San Francisco President John Williams said:
- The Fed should continue the MBS purchases into next year and continue the Treasury purchases because we have not seen a sustained, significant improvement in the labor market, such as payrolls growth more than 200,000 jobs a month or a measurable decline in the unemployment rate, and coherence across lots of indicators.
- Expect growth of 2.5 percent in 2013 and 3.5 percent in 2014 without fueling inflation.
- Concern that large-scale asset purchases might ignite a bout of inflation are unwarranted because price increases are being held in check by elevated unemployment and an economy operating at less than full speed.
Read thef ull article at http://www.bloomberg.com/news/2012-11-02/williams-says-fed-should-extend-bond-purchases-into-next-year.html