WASHINGTON (Reuters) - The Federal Reserve should continue to gradually raise interest rates to lower the risk of a major policy error, Boston Federal Reserve President Eric Rosengren said on Wednesday.
“We haven’t seen much of a trade-off between inflation and unemployment,” Rosengren said following a speech at the Peterson Institute for International Economics in Washington. “That gives us the luxury to be more gradual, and I think there’s some real benefits to being gradual. I think if we’re gradual, we’re less likely to make serious mistakes.”
Reporting by Lindsay Dunsmuir; Editing by Cynthia Osterman