Fed's Bullard: China to 'slow noticeably' in first quarter due to virus

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Fed's Bullard: China to 'slow noticeably' in first quarter due to virus
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The Chinese economy is expected to 'slow noticeably' because of effort...

ST. LOUIS - The Chinese economy is expected to “slow noticeably” because of efforts taken to contain the coronavirus, with the impact already being felt in global bond markets, U.S. Federal Reserve bank president James Bullard said on Tuesday.

Previous diseases outbreaks have had a “tangible” impact on U.S. bond yields that lasted until the virus is “clearly contained,” Bullard noted, and the same appears to be happening today. Bullard said, in fact, he felt the Fed’s rate cuts of last year had set the stage for a “soft landing” from the high growth of 2018, allowing the economy to cool back to its roughly 2% trend without a deeper slowdown or recession.

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