Fed's Plosser: Yellen's 'six months' comment was no mistake: CNBC
Credit: Reuters/Brendan McDermid
Philadelphia Federal Reserve President Charles Plosser speaks at an Economics21 event in New York, March 25, 2011.
That time frame was already expected in the markets, Philadelphia Federal Reserve Bank President Charles Plosser told CNBC. 'It's better to get away from talking about time frames,' he said.
Still, he said, he was surprised the market reacted as much as it did. Stocks and bonds fell after her remark.
The Fed will not contemplate raising rates before it ends the bond-buying program, which will be probably be in October or November if the Fed's current plan stays on course, Plosser said.
Plosser also said he expects rates will be raised gradually, and that his personal expectation is that the Fed's target policy rate should be only at about 3 percent by the end of 2016.
(Reporting by Ann Saphir; Editing by Chizu Nomiyama)
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