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A key Federal Reserve official stressed financial situations could prompt the US central bank to maintain policy tightening.
According to New York Fed President William Dudley, policymakers need to consider financial situations including record stock prices, slumping bond yields, and narrowing of credit spreads.
A close confidante of Fed Chair Janet Yellen, the official said Monday that when such situations alleviate, it can incite the decision to continue the removal of monetary policy accommodation.
