Fed Chair Nominee Waller: More inclined to use interest rates as the primary tool, and to gradually and cautiously reduce the balance sheet.

ME News, April 22 (UTC+8). Fed Chair Nominee Wosh: Overall, the current economy is close to full employment. The Federal Reserve’s balance sheet has played a detrimental role in achieving its dual mandate. I’m more inclined to have interest rates be the guiding force. If we cut rates, more people will benefit. We need to gradually and cautiously reduce the balance sheet. A large balance sheet is one reason the Federal Reserve gets involved in politics. The Federal Reserve needs to exit fiscal affairs. It is working with the Treasury Secretary to advance the reduction of the Federal Reserve’s balance sheet. Too many Federal Reserve officials have already expressed views on interest rates. (Source: PANews)