βWhile you donβt want to be too preemptiveβ in tapering, βyou donβt want to be so reactive as to being late.β
ByΒ Wolf RichterΒ forΒ WOLF STREET.
After an onslaught of Fed governors assured us over the past few days that monetary policy is βin a good place,β and that itβs βnot time to talk tapering,β and that inflation is nothing to worry about, despite the βraging maniaβ in the markets, as Druckenmiller called it, and despite inflation that has come unhinged for the first time in decades, here comes odd-man-out Dallas Fed President Robert Kaplan, speaking at a Q&A event at the University of Texas at Austinβs McCombs School of Business. And it was fascinating.
It was about inflation, supply-and-demand imbalances, tapering, risk and risk management with regards to inflation and the excesses in the markets, including the housing market, and even on how much influence he has on the FOMC where he is now the odd man out….