The Federal Reserve could slow down to 85 billion USD a month in asset purchasing its QE program if the economy continues to improve with the pace of the previous year, said in his interview James Bullard, the president of the St. Louis Fed on Friday.
Bullard stressed to Bloomberg TV that it will be rather tapering to "a slower pace of easing" monetary policy. He considered 2012 to be a "good year" for the economy and the same pace for the economy in 2013 could set FRS " in a position to slow down or stop the purchases."
Moreover, Bullard said he expects the unemployment rate to continue to "tick" down in 2013.
Bullard is a voting member of the Fed's interest-rate setting committee this year