The Federal Reserve is expected to signal its first interest rate hike in three years during a pivotal two-day meeting this week, opening the door to a March liftoff as policymakers seek to combat the hottest inflation in four decades.
Chicago Booth professor of economics and former Fed governor Randall Kroszner weighs in on Federal Reserve chair Jerome Powell's intentions to raise interest rates; Revere Securities' Scott Fullman shares his stock picks.is expected to signal its first interest rate hike in three years during a pivotal two-day meeting this week, opening the door to a March liftoff as policymakers seek to combat the hottest inflation in four decades.
"It is really time for us to move away from those emergency pandemic settings to a more normal level," Chairman Jerome Powell said earlier this month while testifying before the Senate Banking Committee. "It’s a long road to normal from where we are." "The policy objective at Wednesday’s meeting will be to prepare market participants for the major shift in policy that lies ahead: a rate hike in March, another in June, and a balance sheet runoff likely to start in June or July," said Joe Brusuelas, RSM chief economist.
Some economists believe the Fed waited too long to confront the burst in inflation, while others have expressed concerns that moving too quickly to stabilize prices risks slowing hiring and potentially leaving many workers, particularly lower-income Americans, without a job. Hiking interest rates tends to create higher rates on consumers and business loans, which slows the economy by forcing employers to cut back on spending.
France Dernières Nouvelles, France Actualités
Similar News:Vous pouvez également lire des articles d'actualité similaires à celui-ci que nous avons collectés auprès d'autres sources d'information.
CNBC Fed Survey forecasts more aggressive Fed, but better economic growthThe central bank's two-day meeting ends Wednesday, where it is expected to give more clues as to when it will hike rates and begin shrinking the balance sheet.
Lire la suite »
Federal Reserve likely to signal March interest rate hike this weekThe Federal Reserve is expected to confirm plans this week for an interest rate hike for March as officials look to address the decades-high inflation hammering American consumers.
Lire la suite »
The Fed Is Likely to Signal a March Interest Rate Hike and That Further Policy Tightening Is ComingEven with the market’s violent correction, a hawkish Federal Reserve is expected to signal it plans to raise interest rates and consider other tightening.
Lire la suite »
As Fed Meets, Investor Angst Over Rate Hikes Spooks MarketsWild volatility in the stock market this week has put heightened scrutiny on the Federal Reserve’s meeting Wednesday and whether the Fed will clarify just how fast it plans to tighten credit and potentially slow the economy
Lire la suite »
Gold (XAU/USD) Buffeted by Fed Rate Hike Risk and Russia/Ukraine War FearsIncreasingly hawkish market expectations are starting to be reined back and tomorrow’s press conference will hopefully give markets more detail and temper the current volatile market conditions. Get your market update from nickcawley1 here:
Lire la suite »