January 21, 2014 / 3:01 PM / in 4 years

IMF does not expect Fed to withdraw stimulus too early

WASHINGTON (Reuters) - The IMF’s chief economist said on Tuesday he does not expect the U.S. Federal Reserve to withdraw its massive monetary stimulus too early.

“We don’t think the Fed will embark on the direction of exiting too early,” Olivier Blanchard said on a conference call, adding that the low U.S. labor force participation rate could complicate the Fed’s decision to taper its massive bond-buying program.

Reporting by Anna Yukhananov; Editing by Paul Simao

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