Monetary policy

The June Federal Open Market Committee meeting should be live, Federal Reserve Bank of Philadelphia President Patrick Harker said.

Having a positive view of the economy, Federal Reserve Bank of Philadelphia President and CEO Patrick T. Harker said Friday he expects two more rate increases this year.

Federal Reserve Bank of Chicago President Charles Evans said his outlook hasn’t changed much.

The Federal Reserve is on track to begin unwinding its balance sheet this year or next, although U.S. central bankers are not in a rush to tighten and will take care to ensure their actions don’t trigger disruptions that harm the global economy, Federal Reserve Bank of New York President William Dudley said.

After the next rate hike, the Federal Reserve should consider “a very gradual normalization” of its balance sheet, Federal Reserve Bank of Boston President and CEO Eric S. Rosengren said Wednesday.

Tapering of the Federal Reserve’s balance sheet won’t sink the mortgage-backed securities market, said Boston Fed President Eric Rosengren, though prices may have to adjust.

The Federal Reserve should begin shrinking its balance sheet this year and put the reductions “on autopilot,” Federal Reserve Bank of Kansas City President and CEO Esther L. George said Tuesday.

If the economy grows as expected, further rate hikes will be necessary, although they should be gradual, not one every Federal Open Market Committee meeting, Federal Reserve Bank of Cleveland President and CEO Loretta J. Mester said Monday.

The fed funds rate target is not far from the appropriate level, given the low natural rate of interest, Federal Reserve Bank of St. Louis President James Bullard said Monday.

Federal Reserve Bank of San Francisco President John Williams said his outlook hasn’t changed: he still expects three or four rate hikes and the beginning of reducing the Fed balance sheet to begin later this year.