Fed's Bullard worried that US inflation may be too low

(Source: Reuters)

James Bullard, president of the Federal Reserve Bank of St. Louis, has said that he is worried about falling inflation. Saying that it was too early to worry about deflation, Bullard stressed that one per cent inflation would be troubling for the United States.

Figures yesterday saw inflation in the US fall from two per cent to 1.5 per cent in March, as measured by the Consumer Price Index. Bullard said he would be willing to increase quantitative easing if inflation continued to fall.