WASHINGTON, June 26 A senior Federal Reserve
official said on Wednesday the U.S. central bank's communication
efforts had been going through a tough patch, after a week of
intense market volatility following news it would scale back its
bond buying later this year.
"It has been a rocky period over the last couple of months
for communication from the Fed," Jeffrey Lacker, president of
the Federal Reserve Bank of Richmond, told Bloomberg television.
He also warned the U.S. economy could face a few more years
of sluggish growth, but played down fears that current low
levels of inflation could push the economy into a damaging
"The low inflation numbers have given me pause. But I'll
have to say I am convinced so far that they appear to be
transitory ... I'm pretty confident it will pick up," he said.