The Federal Reserve’s gradual push towards higher interest rates shouldn’t be blamed for any roiling of emerging market economies, which are well placed to navigate the tightening of US monetary policy, Fed chairman Jerome Powell said.In a speech that argued US decision-making isn’t the major determinant of flows of capital into developing economies, Powell said the influence of the Fed on global financial conditions should not be overstated, despite it being blamed five years ago for the so-called taper tantrum.“There is good reason to think that the normalisation of monetary policy in advanced economies should continue to prove manageable for …read more
Source: Gulf times
