DALLAS Jan 14 The Federal Reserve's promise
last month to keep rates near zero until after unemployment
falls to 6.5 percent was part of the horse-trading on policy
that also resulted in a decision to begin paring the Fed's
bond-buying program, a top Fed official suggested on Tuesday.
"I didn't find the 6.5 percent, or well past 6.5 percent, to
be too high a price to pay for that cutback of $10 billion,"
Dallas Federal Reserve Bank President Richard Fisher told
reporters after a speech here.
The Fed in December decided to cut its bond-buying program
to $75 billion a month from $85 billion. It also said it would
keep rates low until well past the time unemployment falls to
6.5 percent. It registered 6.7 percent in December.
"I'm not uncomfortable with statement that was issued, but I
think we need to discuss this further," Fisher said.