International Monetary Fund Managing Director Christine Lagarde In her first formal speech -
"Act now" to save global recovery, IMF chief urges
"Put simply, macroeconomic policies must support growth," the former French economy minister said. On Friday, she made the same point in a phone conversation with U.S. President Barack Obama, in which the White House said they agreed on the need for policies to spur job creation.
"Monetary policy also should remain highly accommodative, as the risk of recession outweighs the risk of inflation," Lagarde said, adding that central banks should stand ready to jump back into unconventional policy actions if needed.
Short term, good for stocks. Longer term - inflation!
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