European Central Bank should follow FED policy, according to James Bullard

A senior Federal Reserve official, James Bullard stated on Tuesday, that asset purchasing on huge scale was the closest move to a normal monetary policy, especially when interest rates fell towards zero. He gave a remark that European Central Bank was to take such measures if inflation rates continued to decline.

St. Louis Federal Reserve Bank President James Bullard added that FED should stick to its policy of bond purchasing, having the opportunity to accelerate or decelerate the pace of purchases, depending on economic indicators and their influence.

Federal Reserve currently purchases bonds at the amount of 85 billion US dollars each month. The next meeting is scheduled for June 18-19, as review of current policy is expected.