Fed's Fisher Says Inflation Moving in Right Direction
Dallas Federal Reserve President Richard Fisher said on Thursday that there is still a lot of analysis ahead before the next Fed decision on interest rates.
It has yet to be determined if there is enough evidence in the United States economy of the need to cut rates, Fisher told reporters after a speech to local business leaders here.
Fisher declined to comment on financial market expectations that show a rate cut of at least 25 basis points is anticipated at the Fed's Sept. 18 policy meeting, beyond saying that markets are "manic-depressive mechanisms" whose ideas come and go.
"The Fed's job is to get the economy right," Fisher said. He added that inflation has been moving in the right direction and that the economy has support from "not insignificant growth" in the industrial sector and exports.
"The mortgage industry alone is not the economy," said Fisher, who will be a voting member of the Federal Open Market Committee in 2008.