FED'S JOHNSON SEES EASING OF INFLATIONARY FEARS
Federal Reserve Board Vice-Chairman
Manuel Johnson said the inflationary expectations in the
financial markets have eased since the Fed's last half-point
increase in its discount rate to 6.0 pct.
    "We have seen the kind of expectational forces develop I
think that we've been satisfied with since our last discount
rate move," Johnson said.
    Fed Chairman Alan Greenspan has said the most recent
discount rate increase on September 4 was largely aimed at
quelling inflationary fears in financial markets which he said
were largely unfounded.
 Reuter
