ST. LOUIS — The U.S. economy will continue to rebound even without immediate fiscal stimulus, according to St. Louis Fed President Jim Bullard.
“There may be enough resources right now, at least for 2020,” Bullard said Wednesday in a virtual appearance at the Federal Reserve Bank of St. Louis' annual community banking conference. “It probably not so much hinges on whether Congress acts or not before the election here or after the election,” he said. “You could probably wait until next year and then you could assess the situation at that point and make a decision.”
Bullard's statement Wednesday was similar to a view he expressed Sept. 21 that a second government stimulus package isn't as necessary as the first stimulus because the economic impact of the pandemic has been not as bad as expected.
Among Fed leaders, Bullard is pretty much alone in his opinion. Many have called for additional support to counter risk of a further setback in the recovery.
Bullard has said previously that the U.S. economy may reach "a sort of 'full recovery' by the end of 2020."
Treasury Secretary Steven Mnuchin and House Speaker Nancy Pelosi failed to reach a deal for a new stimulus package Wednesday but said they will continue negotiating.
