The U.S. economy will grow reasonably in the second half of this year, but the Federal Reserve needs to see more progress before taking some of its economic support away, Eric Rosengren, the president of the Boston Fed said on Thursday.
We need to wait for more progress (on the economy) before we take some stimulus away, Rosengren told CNBC in an interview on the sidelines of the Boston Fed's annual conference in Cape Cod.
Rosengren said they would need to see private consumption, including housing, pick up before the Fed can remove monetary stimulus.
The Fed cut interest rates to near zero and put in place an array of emergency lending and liquidity programs as it fought the deepest recession since the Great Depression.
Asked about the dollar, Rosengren said that the fall in the dollar reflects people becoming more confident in the economy and more willing to take risk.
Rosengren is not a voting member on the policy-setting Federal Open Market Committee this year.