The impact of ending asset purchases on interest rates will likely be “modest,” Federal Reserve vice chairman Donald Kohn said Friday, although he said that judgment is subject to “considerable” uncertainty.

And while it would be “appropriate” to raise interest rates as the economy continues to gain momentum, Kohn repeated that short-term interest rates are likely to remain low for an “extended period” of time, provided that the economy follows the trajectory expected by the central bank.

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