Federal Reserve Bank of St. Louis President James Bullard said the Fed is ready to act if the COVID-19 virus develops into a destabilizing force on the world economy.
Speaking to the Fort Smith, Ark., regional chamber of commerce on Friday, he said while COVID-19 cases appear to be contained in China, more cases are being reported globally. Global economic growth is likely to slow temporarily, he said, but much of the slowdown will be centered in Asia.
Bullard said the Federal Open Market Committee is in a good position because previous policy rate cuts were designed to insulate the economy from adverse shocks.
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