Greenspan Hints Rates Could Go Higher

The Financial Times reports:

Alan Greenspan was still making waves on Wednesday after remarks he made at a private dinner leaked out, providing the markets with new talking points as investors wait to see how his successor, Ben Bernanke, settles in at the Federal Reserve.

Mr Greenspan stepped down last week as chairman after 18 years at the helm of the Fed. He is believed to have spoken on Tuesday night to a private gathering organised by Lehman Brothers. While his comments have not been made public, reports of what he said led some to view further rate rises by the Fed as more likely.

Fed Funds target rate is going higher.