Comments Subscribe to Personal Liberty News Feed Subscribe to Personal Liberty

Economists Say Fed Likely To Take Wait-And-See Approach On Stimulus

The U.S. Federal Reserve likely will adopt a wait-and-see stance that the economy is strong enough to handle a change in stimulus policy, economists said.

The consensus among Fed watchers is that it will maintain the $85-billion-a-month asset-buying program after it closes its two-day meeting next week, reported Friday.

“They are going to be tapering likely before too long; they are just not ready to do it yet,” said Jim O’Sullivan, chief U.S. economist at High Frequency Economics.

“They will not want to send a message one way or the other. December is still in play. We’ll have to see how the numbers play out,” O’Sullivan said.

In recent days, many Fed watchers shifted expectations of the first reduction in the asset buying program to March 2014, given the puny September job numbers released Tuesday.

Economists said they see data remaining weak and muddled from the impact of the partial federal government shutdown and political standoff over raising the nation’s debt limit, said.

O’Sullivan said there is still a chance for a December move, particularly if economic data remains strong despite the two-week shutdown.

Thomas Simons, vice president and money-market economist at Jefferies, told he was less certain about a change in December.

“If the data improved dramatically, a move is possible in December, but at this point the chances of that look remote,” he said.

UPI - United Press International, Inc.

Since 1907, United Press International (UPI) has been a leading provider of critical information to media outlets, businesses, governments and researchers worldwide.

Facebook Conversations

Join the Discussion:
View Comments to “Economists Say Fed Likely To Take Wait-And-See Approach On Stimulus”

Comment Policy: We encourage an open discussion with a wide range of viewpoints, even extreme ones, but we will not tolerate racism, profanity or slanderous comments toward the author(s) or comment participants. Make your case passionately, but civilly. Please don't stoop to name calling. We use filters for spam protection. If your comment does not appear, it is likely because it violates the above policy or contains links or language typical of spam. We reserve the right to remove comments at our discretion.

Is there news related to personal liberty happening in your area? Contact us at


Sign Up For Personal Liberty Digest™!

PL Badge

Welcome to,
America's #1 Source for Libertarian News!

To join our group of freedom-loving individuals and to get alerts as well as late-breaking conservative news from Personal Liberty Digest™...

Privacy PolicyYou can opt out at any time. We protect your information like a mother hen. We will not sell or rent your email address to anyone for any reason.