Here's what it means for your money if Trump gets his way on interest rates
div > div.group > p:first-child"> The Fed has already hiked its benchmark rate nine times since December 2015. In March, it indicated that it is likely done with increases for the rest of 2019 despite previously forecasting two more at the end of last year. The Fed currently targets the federal funds rate to a range between 2.25% and 2.5% .
Now, in his latest attack, Trump raised the stakes by calling for the central bank to cut interest rates by 1 percentage point. The most recent Fed statement noted that household spending slowed and inflation is running below 2%."Those aren't conditions under which the Fed feels compelled to change interest rates in either direction," McBride added.Most credit cards have a variable rate, which means there's a direct connection to the Fed's benchmark rate.
As it stands, the national average annual percentage rate hit 17.73% this month, while the median was 21.36%, according to CreditCards.com. For those planning on purchasing a new car in the next few months, any rate move – up or down – likely will not have any material effect on what vehicle you drive off the lot.
Because banks' terms allow them to be slower to raise rates on savings products than they are on loans and credit cards, even with a Fed rate increase, banks do not pass on much of that increase to their customers.
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.
Where Trump has support in battle with Fed over rates: The smallest small businessesThe smallest businesses on Main Street are preoccupied with interest rates they say are too high, while larger business owners are more focused on the tight labor market and hiring, according to the latest CNBC/SurveyMonkey Small Business Survey.
Lire la suite »
White House plans next moves to fill open Fed seatsTrump’s previous picks for open seats on the Federal Reserve Board, Stephen Moore and Herman Cain, withdrew amid opposition from GOP lawmakers.
Lire la suite »
Fears of recession in America have fadedThe Fed's pause in raising interest rates has delighted investors
Lire la suite »
Senate Intelligence Committee subpoenas Donald Trump Jr. over Trump Tower Moscow testimonyThe Republican-led Senate Intelligence Committee has subpoenaed President Donald Trump's eldest son, Donald Trump Jr., to answer questions about his claim to have just limited knowledge of an ultimately aborted plan to build a Trump Tower in Moscow.
Lire la suite »
Melania Trump praises Twitter, Facebook as 'true partners' as Donald Trump Jr. slams their 'political discrimination'“Your work is saving lives and helping children,' Melania Trump said of Twitter, Facebook, Google and other organizations.
Lire la suite »
Trump 'very surprised' about subpoena for his son Donald Trump Jr.Pres. Trump told ABC's jonkarl he was 'very surprised' the Senate Intelligence Committee subpoenaed Donald Trump Jr. 'My son is a very good person, works very hard, the last thing he needs is Washington, D.C. He would rather not ever be involved.'
Lire la suite »