![]() The Fed does not “have an agenda to further consolidate banks,” Mr. Powell said that cutting interest rates this year was “not in our forecast.”) One calculation put the likelihood that the Fed would hold off changing rates when it meets in June at more than 80 percent. Investor bets on where interest rates go from here are tilted toward a pause at the Fed’s next meeting and then lower interest rates later in the year. Powell said that “a decision on a pause was not made today.” He added that “we’ll approach that question at the June meeting.” In his news conference after the rate announcement, Mr. The “may” in the statement is a signal that officials are not confident that further moves will absolutely be necessary. “In determining the extent to which additional policy firming may be appropriate to return inflation to 2 percent over time, the committee will take into account the cumulative tightening of monetary policy, the lags with which monetary policy affects economic activity and inflation, and economic and financial developments,” the policy-setting Federal Open Market Committee said in its release. ![]() This opens the door to a possible pause in rate increases. That marks a shift in stance: For months, they had assumed that additional increases would be needed. ![]() In their statement announcing the decision, Fed policymakers indicated that they will watch to see whether future rate moves are necessary. Here’s what to know about the central bank’s latest move: ![]()
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