If there were any doubts remaining that the Federal Reserve intends to keep rates on hold for months to come, they have been dispelled by the comments of a Fed policymaker today.

Randall Kroszner, a Federal Reserve governor and a member of the interest-rate-setting Federal Open Market Committee, said in a speech in Manhattan today that the Fed's current rate policy should be sufficient in 2008.

"Looking further ahead, the current stance of monetary policy should help the economy get through the rough patch during the next year, with growth then likely to return to its longer-run sustainable rate," he said. "As conditions in mortgage markets gradually normalize, home sales should pick up, and homebuilders are likely to make progress in reducing their inventory overhang. With the drag from the housing sector waning, the growth of employment and income should pick up and support somewhat larger increases in consumer spending. And as long as demand from domestic consumers and our export partners expands, increases in business investment would be expected to broadly keep pace with the rise in consumption."

The Fed cut rates by a half point in September and a quarter point in October. In its statement accompanying the October cut, the Fed sought to dampen expectations for a future reduction, saying that it sees that "the upside risks to inflation roughly balance the downside risks to growth."

Kroszner indicated today that nothing has changed in the Fed's view since the October meeting.

"The downside risks to economic growth now appear to be roughly balanced by the upside risks to inflation," he said. "I would add that the limited data and information received since the October F.O.M.C. meeting have not changed my thinking in this regard."