The United States is at the beginning of a slowdown as the economy continues to face significant upside inflation risks and tighter credit conditions, according to new minutes from the July Federal Open Market Committee (FOMC) policy meeting. Although the economy has been expanding at a “moderate pace,” the latest credit developments in the “sound […]
Federal Reserve officials expect more rate hikes ahead, while some had advocated for a quarter-point increase at the June Federal Open Market Committee (FOMC) policy meeting, according to new minutes. Rate-setting Committee members agreed that more rate increases are ahead but at a slower pace. They also found it acceptable or appropriate to leave the target […]
For the first time in more than a year, the Federal Reserve has left interest rates unchanged but signaled that two more rate hikes are poised to happen this year. The benchmark federal funds rate held steady at a range of 5.00 and 5.25 percent, effectively ending the streak of ten consecutive rate hikes. “Holding […]
Not raising the debt limit in a “timely manner” could pose a substantial risk to the financial system and the broader U.S. economy, according to minutes from the May Federal Open Market Committee (FOMC) policy meeting. FOMC participants assessed the Treasury Department’s forecast that the federal government would be unable to fully satisfy its obligations […]
The Federal Reserve raised interest rates by 25 basis points, lifting the benchmark federal funds rate to a range of 5.00 and 5.25 percent, the highest level since September 2007. The vote to raise rates by a quarter point was unanimous, according to a statement from the Federal Open Market Committee (FOMC). Markets had mostly […]
Federal Reserve staff are projecting that the banking crisis would trigger a recession later this year, minutes from the March Federal Open Market Committee (FOMC) policy meeting revealed. As expected, the turmoil in the banking sector was the main focus of last month’s policy meeting, with many Fed participants expressing concern that the collapse of […]
The U.S. banking system is “sound and resilient” as it maintains strong capital and liquidity conditions, Federal Reserve Chair Jerome Powell told reporters after the policy-making meeting of the Federal Open Market Committee (FOMC). Powell highlighted that the central bank took decisive actions with the Treasury Department and the Federal Deposit Insurance Corporation (FDIC) in […]
The Federal Reserve raised interest rates by 25 basis points, lifting the benchmark federal funds rate to a range of 4.75–5.0 percent, the highest since late 2007. Fed officials say that the “banking system is “sound and resilient,” adding that the recent developments “are likely to result in tighter conditions for households and businesses,” which […]
The Federal Reserve voted to raise the benchmark federal funds rate by 50 basis points, to a target range of 4.25–4.5 percent at the December policy-setting meeting of the Federal Open Market Committee (FOMC), the highest level since late 2007. In total, the Federal Reserve has raised interest rates seven times since March, totaling 425 […]
The Federal Reserve does not believe inflation pressures are easing, according to minutes from the November Federal Open Market Committee (FOMC) policy meeting. Meeting participants noted that inflation risks were “skewed to the upside,” adding that “a persistent reduction in inflation could require a greater-than-assumed amount of tightening in financial conditions.” With risks to real […]
The Federal Reserve raised the benchmark federal funds rate by 75 basis points, to a target range of 3.75–4.00 percent on Nov. 2, in line with market expectations. The decision came after the Fed’s policy-making arm, the Federal Open Market Committee (FOMC), concluded its two-day policy meeting on Nov. 2. This was the sixth rate hike […]
The Federal Reserve will eventually slow down the pace of interest rate hikes as officials assess the cumulative effects of monetary policy adjustments, according to minutes from the September meeting of the Federal Open Market Committee (FOMC) released on Wednesday. However, the central bank reiterated its position that the Fed must adopt and maintain a restrictive […]
The Federal Reserve does not see much evidence that broad-based inflationary pressures were easing and that 40-year high inflation will take a while to resolve, minutes from last month’s Federal Open Market Committee (FOMC) revealed on Wednesday (pdf). “Participants agreed that there was little evidence to date that inflation pressures were subsiding. They judged that […]
The Federal Reserve raised interest rates by the most since 2000 on Wednesday as part of efforts to fight 40-year-high inflation. Officials serving on the Federal Open Market Committee (FOMC) agreed to hike the benchmark fed funds rate by 50 basis points, bringing it to a target range of 0.75 percent to 1 percent. Investors […]
The Federal Reserve plans to shrink the balance sheet by $95 billion a month, minutes from the March Federal Open Market Committee (FOMC) policy meeting revealed (pdf). Minutes released on Wednesday show that Committee members “generally agreed” on a cap of $60 billion in Treasury securities and $35 billion in mortgage-backed securities that would be […]
WASHINGTON—The Federal Reserve on Wednesday signaled it is likely to raise U.S. interest rates in March and reaffirmed plans to end its bond purchases that month as well before launching what was characterized as a significant reduction in its asset holdings. The combined moves will complete the Fed’s pivot away from the loose monetary policy […]
WASHINGTON—The Federal Reserve said on Jan. 27 that the U.S. economy is a long way from recovery as the resurgence in COVID-19 cases has weighed on economic activity and the labor market. After the conclusion of the central bank’s two-day policy meeting, Fed officials announced that they would hold the target range for the federal funds rate at zero […]
WASHINGTON—The Federal Reserve announced on Sept. 16 that it will keep U.S. interest rates near zero until it sees inflation “moderately above 2 percent for some time.” Fed policymakers don’t predict any interest rate increases through 2023. After the conclusion of the central bank’s two-day policy meeting, Fed officials said they would hold the federal […]
The Federal Reserve’s monetary policy-setting body meets this week to take the pulse of the U.S. economy and decide whether its health is best served by an interest rate hold, hike, or cut. Experts interviewed by The Epoch Times broadly agreed that when members of the Federal Open Market Committee (FOMC) meet on Jan. 28-29 […]
