Economists debate how much feds should cut rates: ; Sixth interest rate reduction expectedTHE ASSOCIATE PRESS
“We want to see more evidence that inflation is moving sustainably down to 2%,” Powell added. “Our confidence is rising. We just want some more confidence before we take that very important step of beginning to cut interest rates.” As he did during a Wednesdaynews conference, he said ...
000 jobs were created last month—implying that the Fed might not need to cut rates as drastically to keep the economy healthy. The odds of a 50-point cut in November dropped to zero. The odds of a 25-point cut shot up to 99.1%, and...
"This is not a committee that feels like it is in a hurry to cut rates quickly," Powell told a National Association for Business Economics conference, even though the policy-setting Federal Open Market Committee kicked off its easing cycle with a larger-than-expec...
The cut may be the catalyst that sparks a broader market re-pricing. Regional banks have been under pressure for much of the year, and while lower rates might provide some relief, they also signal that the Fed is concerned about bank stability. If the financial sector takes another hit...
What the rate cut means long-term While some effects of the rate cut will be almost immediate, others will take time to materialize. Mortgages While the Fed doesn't directly set mortgage rates, its decisions influence them. Mortgage rates are expected to trend downward in the coming months, ...
The Fed chair added that with the economy healthy and unemployment low, “we think we can and should be careful” in deciding when to cut the central bank’s benchmark rate. Powell also underscored that the Fed’s policymakers believe they are done raising r...
Skip to Main ContentSkip to SearchFed’s Musalem Sees Risk of Cutting Rates Too Much, Too SoonReprintsFederal Reserve Fed’s Musalem Sees Risk of Cutting Rates Too Much, Too Soon By Nicholas Jasinski Updated Dec 04, 2024, 9:28 am EST / Original Dec 04, 2024, 9:25 am EST...
Given that the Fed chose to cut rates this week by more than consensus surveys had expected, and that its own revised rate projections also show more rate cuts in the pipeline than anticipated, investors may harbour some concerns that the Fed is getting ahead of itself, and that more aggress...
To the Editor: There’s a belief that the Federal Reserve will cut interest rates soon (“Rate Hikes Haven’t Hurt Main Street. Wall Street Might Not Be So Lucky,” The Economy, Nov. 22). The only way that will happen is if we are in a recession next year. If that happens, the...