Fed’s Fisher warns against QE

Policymakers at the Federal Reserve “must keep their heads about them” after a wave of weak economic data and resist simply seeking to solve problems with looser monetary policy, a top official said yesterday. Dallas Fed president Richard Fisher warned it should not be an “accomplice to the mischief” of fiscal policymakers in Washington who have not done enough to support the recovery. Among the first officials to weigh in since a report on Friday showed weak jobs growth, Fisher expressed serious doubts about the efficacy of Operation Twist, the central bank’s latest plan to boost the recovery.