![]() ![]() Pramila Jayapal, D-Wash., called on Fed Chair J erome Powell to halt rate hikes entirely, warning that too many increases would cost a growing cohort of people their jobs. Heading into Wednesday, the chorus of voices calling for the Fed to pause kept growing. Those forecasts were countered elsewhere. "In our base case the Fed will raise rates by 25bp this week and again in June and July." "Rather than signaling a pause, the committee will want to preserve the option for further rate hikes," the Citi economists write. In an emailed statement, Seema Shah, the chief global strategist at Principal Asset Management, said that with inflation still elevated and sticky and with the broad economic picture still looking "fairly robust," the Fed would be more likely than not to keep additional rate hikes on the table. Others disagreed about how exactly this all plays out. Yet, as the Federal Reserve readied to make its latest interest rate announcement, financial commentators continued to disagree about how it should be responding to economic conditions.Īccording to data from the CME Group, Wall Street traders were betting that the Fed would announce another 0.25% rate hike - but that it will be forced to cut rates at least twice before the end of the year as economic growth slows to a crawl. Federal Reserve Chair Jerome Powell testifies before the Senate Banking Committee on March 7. ![]() ![]() Indeed, many consumers would agree that between inflation and tighter credit conditions - and with no more pandemic financial assistance in sight - this is the worst they’ve felt about their finances since the pandemic broke out and upended everything. “ Federal Reserve Issues FOMC Statement, May 03, 2023.The latest decision comes at a fraught moment as high prices, high interest rates and slowing growth would all seem to spell an economic downturn. “ Federal Reserve Issues FOMC Statement, March 22, 2023.”īoard of Governors of the Federal Reserve System. “ Federal Reserve Issues FOMC Statement, February 01, 2023.”īoard of Governors of the Federal Reserve System. “ Minutes of the Federal Open Market Committee: June 13–14, 2023,” Pages 3–7.īoard of Governors of the Federal Reserve System. “ Federal Funds Effective Rate.”īoard of Governors of the Federal Reserve System. “ Consumer Prices Up 9.1 Percent Over the Year Ended June 2022, Largest Increase in 40 Years.”įederal Reserve Economic Data (FRED), Federal Reserve Bank of St. “ Surveillance Special: Powell Takes the Sting Out of ‘Super Hawkish’ Skip.” “ Summary of Economic Projections: June 14, 2023,”. “ Federal Open Market Committee: Transcripts and Other Historical Materials.”īoard of Governors of the Federal Reserve System. “ Federal Open Market Committee: FAQs: What Is the Summary of Economic Projections?”īoard of Governors of the Federal Reserve System. “ Federal Open Market Committee: About the FOMC.”īoard of Governors of the Federal Reserve System. “ Here’s Everything the Federal Reserve Is Expected to Do Wednesday.”īaron's " News from the FOMC policy statement and interest-rate decision, as well as Chairman Jerome Powell's press conference."īoard of Governors of the Federal Reserve System. " Federal Reserve Meeting: Fed Leaves Rates Unchanged."ĬNBC. “ Federal Open Market Committee: Meeting Calendars, Statements, and Minutes (2018–2024).” This was largely expected, as this move gives the Fed additional time to evaluate if the current rates are managing to keep inflation at bay without hampering economic growth.īoard of Governors of the Federal Reserve System. Some Fed watchers remain concerned about more interest rate increases due to risks of bank failures, stock market instability, and global economic uncertainty.ĭuring the most recent FOMC meeting in September, interest rates held stead at 5.25%-5.50%.The consensus among market experts suggests that the Fed may introduce one more 25-basis-point rate hikes this year to moderate inflation to the Fed’s 2% target.Despite the pause in June, most analysts predicted the quarter-point rate hike at the July meeting, given the Fed’s commitment to maximum employment and price stability.The FOMC raised interest rates to 5.25%–5.50% at the July 2023 meeting, marking 11 rate hikes this cycle aimed at curbing high inflation.The Federal Open Market Committee (FOMC) held rates steady during their most recent meeting in September 2023. ![]()
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