NASHVILLE, Tenn., May 12 (Reuters) - St. Louis Federal Reserve President James Bullard on Wednesday said risks to the U.S. recovery from the European sovereign debt crisis are not high but the situation requires close monitoring.
“It’s possible that Europe would slow down and that would feed back to the U.S., it’s also possible that there could be contagion effects,” he told reporters after a speech.
“At the end of the day I don’t think the risks are that high right now but we want to be careful ... I think the recovery is fairly robust, and I think it will continue, and we’re facing risk, but they’re not that high at this moment,” he said. (Reporting by Mark Felsenthal, Editing by Chizu Nomiyama)