Mr. Plosser said the best strategy for the Fed right now is simply to step aside.
“This is just one of those recoveries where patience is going to be the biggest thing,” he said, adding “I don’t think the fact it’s slow is an indication that the level of monetary policy accommodation is too low, or that necessarily more aggressive accommodation would speed it up.”
“It doesn’t surprise me things look kind of bad right now,” Mr. Plosser said. “I don’t think that’s going to change dramatically over the next three or four months,” he said.
When it comes to the outlook, “I don’t think that monetary policy will be particularly determinant” in what happens, Mr. Plosser said.