Feb 3 The recent drop in U.S. and
emerging-market stocks is not enough to cause the Federal
Reserve to pause its efforts to reduce policy stimulus, Dallas
Fed President Richard Fisher said on Monday.
"I'm not surprised to see a reaction," Fisher said on Fox
Business television of the market drop over the last couple of
days and weeks. Asked whether it would affect Fed policy, he
said: "I don't see anything changing as a result of that."
Fisher, who backed the U.S. central bank's decision last
week to reduce the monthly bond-buying stimulus by $10 billion,
said the Fed is focused in part on fixed income markets, noting
the recent rally in seven- and 10-year bonds.
"And most important of all is the real economy" and whether
it is growing with cyclical employment dropping, he said.