Fed leaves interest rates unchanged
HTML-код
- Опубликовано: 30 янв 2024
- The Federal Reserve maintained its benchmark interest rate on Wednesday in a range of 5.25%-5.50%, the highest since 2001, and cautioned it won't begin lowering interest rates until it sees further progress on inflation returning to its 2% target.
"The Committee does not expect it will be appropriate to reduce the target range until it has gained greater confidence that inflation is moving sustainably toward 2%," the Fed said in its policy statement.
Fed chair Jerome Powell at his Wednesday afternoon press conference pushed back on market expectations for a cut as early as March, saying that's "probably not the most likely case or what we'd call the base case."
I don't think it's likely the Committee will reach a level of confidence by the time of the March meeting to identify March as the time to [cut rates]."
He said that the Fed didn’t need to see "better data," but just "more good data" and a "continuation of the data we have been seeing."
"It’s not that the six months data isn’t good enough," Powell said, referring to recent readings showing that the Fed's preferred inflation gauge is below the central bank's target. "It is."
Rather, Powell said the central bank would like to see "more evidence that confirms what we think we're seeing" regarding the recent drop in inflation.
Asked whether the Fed had successfully reached a soft landing at this point, Powell said, "No, I wouldn’t say we’ve achieved that. We have a ways to go. Core inflation is still well above target on a 12-month basis."
He added, "Certainly, we’re encouraged by the progress but we’re not declaring victory at this point."
'Moving into better balance'
Officials last raised rates in July 2023 and expect to cut rates sometime this year, with the median expecting three rate cuts.
Fed officials did make it clear Wednesday that cuts are likely on the way at some point, noting that the risks to achieving price stability and maintaining full employment are "moving into better balance."
The central bank also changed language from prior statements that had previously left room for rate hikes.
On Wednesday, the Fed more broadly referred to "any adjustments" it may need to make to its interest rate policy in the future.
The Fed had, in prior statements, made reference to the potential need for "any additional policy firming" should inflation not continue moving towards its goal.
Following the Fed's announcement on Wednesday, data from the CME Group showed markets initially suggested a roughly 55% chance that the Fed begins lowering interest rates in March. But once Powell made it clear that March was likely off the table, those odds fell to 36%.
Investors now predict a roughly 90% chance that at least one cut happens in May instead.
In a nod to stronger-than-expected fourth quarter GDP, Fed officials characterized the economy as "expanding at a solid pace." The Fed characterized job gains as having "moderated" over the last year but noted that job gains remain "strong."
The Fed also removed language qualifying the US banking system as sound and resilient while also stripping out any talk of how tighter financial and credit conditions would weigh on households.
For more on this article, please visit:
finance.yahoo.com/news/federa...
About Yahoo Finance:
Yahoo Finance provides free stock ticker data, up-to-date news, portfolio management resources, comprehensive market data, advanced tools, and more information to help you manage your financial life.
- Get the latest news and data at finance.yahoo.com
- Download the Yahoo Finance app on Apple (apple.co/3Rten0R) or Android (bit.ly/3t8UnXO)
- Follow Yahoo Finance on social:
X: / yahoofinance
Instagram: yahoofinanc...
TikTok: www.tiktok.com/@yahoofinance?...
Facebook: / yahoofinance
LinkedIn: / yahoo-finance
![TRASH or PASS! Eminem ( Houdini ) [REACTION!!!]](http://i.ytimg.com/vi/cB1WrZcMwMc/mqdefault.jpg)
Well explained. Thank you for bringing up this video. Financial education is indeed required for more than 70% of the society in the country as very few are literate on the subject! Thanks to Valerie Ellen Cirbo, the lady you recommended...
Everyone needs a different stream of income, such as where one can invest some parts of his or her monthly income.
Is there anywhere I can get across this lady for as a noob investor???
Just search her name online
Lol, you need to have your eyes opened to the bankster fraud going on none of the central banks are owned by any country's its a joke.
“If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.
Thomas Jefferson
I'm sure this guy and numerous other knew and warned ppl but like you said 70 percent well I say 99 percent need to learn history facts and truth about the banks.
This was written in US Bankers Magazine, Aug. 25, 1924.
“Capital must protect itself in every possible manner by combination and legislation. Debts must be collected, bonds and mortgages must be foreclosed as rapidly as possible.
When, through a process of law, the common people lose their homes they will become more docile and more easily governed through the influence of the strong arm of government, applied by a central power of wealth under control of leading financiers.
This truth is well known among our principal men now engaged in forming an imperialism of Capital to govern the world. By dividing the voters through the political party system, we can get them to expend their energies in fighting over questions of no importance.
Thus by discreet action we can secure for ourselves what has been so well planned and so successfully accomplished.”
These ppm own all governments, corporations, and judicial institutions globally. Governments are all controlled and havent worked for we the ppl in long time.
“If the American people ever allow private banks to control the issue of their currency, first by inflation, then by deflation, the banks and corporations that will grow up around [the banks] will deprive the people of all property until their children wake-up homeless on the continent their fathers conquered. The issuing power should be taken from the banks and restored to the people, to whom it properly belongs.
Thanks so much for everything you do! 😀
Here comes high rates + QE. I guess we're trying anything now.
Really reality what about renting a place rent is to high reality rental is much higher
OF ALL NOW
Drop rate now
Yeah a wonderful government is doing great things for this nation.. Sad to say but I am revoking my citizenship too much more financially in overall stable and friendly and purposeful economy
I don't know which dogs you're buying buddy but If you are making money on stocks I'll give you 2% return on any gain since you are her about it
Pro tip: the stock market is look not the economy. The economy is crashing.
Blanket statement