NEW YORK, April 20 (Reuters) - The central bank chiefs of both Colombia and Peru said on Monday they expect an impact on bond markets and increased volatility when the U.S. Federal Reserve carries out an anticipated interest rate increase later in 2015.
“I think the Fed has been doing a very good job, being as transparent as possible, making the least noise possible... We may have a strong impact in bond prices, and some volatility. I am not very concerned about the exchange rate,” Jose Dario Uribe, governor of the Central Bank of Colombia, said at an event sponsored by Bloomberg.
Uribe, and his counterpart from the central bank of Peru, Julio Velarde, both said they have no plans on changing their inflation targets.
Velarde said the markets have already anticipated the removal of the Fed’s monetary accommodation and that the strength of the U.S. dollar against emerging market currencies has already been felt.
Reporting by Daniel Bases and Jonathan Spicer; Editing by Chizu Nomiyama