- Bonuses and Promotions
Fed vice-chairman Stanley Fischer expressed some days before quite interesting opinions that the Fed should continue its normalisation of monetary policy.
Particularly, Fed vice-chairman is sure that a step, implemented by the regulator in December, allowed using of new instruments of financial regulation. In its turn, this will prevent from market bubbles in future. Stanley Fischer notes that the regulator did not use before a crisis in 2008 such a significant weapon as rate hike, so negative result, certainly, appeared. However, it does not exclude possible dangerous situations that can come in future, but the regulator now has all necessary instruments to be ready.
On Fed’s historical decision Stanley Fischer noted that the step was hard to achieve. However, vice-chairman called in spring 2015 to act decisively. In general, he meant an increase by 0.25%, which is insignificant rate for global changes. He also said that programme of normalisation would take some years.
Stanley Fischer expects rates to be at 3.25% - 4% by 2018.