Financial Stability: The Federal Reserve

The Federal Reserve: CHICAGO/BOSTON - The Federal Reserve should be "extraordinarily careful" about hiking interest rates to head off potential risks to financial stability, a top U.S. central banker said on Friday, warning about consequences to the economy. , according to Reuters. The debate over whether tighter policies should be used to battle asset-price bubbles has simmered under the surface as the Fed has taken unprecedented steps to boost economic growth, including trillions of dollars in bond-buying and promises to keep interest rates low for long periods. By Ann Saphir and Richard Valdmanis Another policymaker underscored the importance of the issue of asset bubbles as he laid out possible approaches to protecting the broader economy, but without endorsing any one. (www.immigrantscanada.com). As reported in the news.