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Minneapolis Federal Reserve Bank President Narayana Kocherlakota speaks at a macro-finance conference hosted by the Boston Federal Reserve Bank and Boston University in Boston, Massachusetts November 30, 2012. REUTERS/Brian Snyder

Fed policy \'if anything\' is too tight: Kocherlakota
Fed policy 'if anything' is too tight: Kocherlakota
Posted : Thursday, 10 January 2013 09:55PM

MINNEAPOLIS, Minnesota (Reuters) - The Federal Reserve's stimulus policies are appropriate, perhaps even insufficient, given forecasts for weak economic growth and low inflation for years to come, a top central bank official said on Thursday.

"Inflation will run below the Fed's target of 2 percent over the next two years and the unemployment rate will remain elevated. This forecast suggests that, if anything, monetary policy is currently too tight, not too easy," said Narayana Kocherlakota, president of the Minneapolis Fed, at a meeting sponsored by the regional central bank.

(Reporting By David Bailey; Writing by Pedro Nicolaci da Costa; Editing by Eric Walsh)

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