Federal Reserve officials held off on cutting interest rates this week because they wanted to see slightly more data to feel confident that inflation is truly coming under control. While that approach is cautious when it comes to price increases, Friday’s employment report underscored that it might be a risky one when it comes to … Read more
WASHINGTON: The Federal Reserve held interest rates steady on Wednesday but opened the door to reducing borrowing costs as soon as its next meeting in September as inflation continues coming into line with the U.S. central bank’s 2% target. “There has been some further progress towards the Committee’s 2% objective,” the central bank’s Federal Open … Read more
WASHINGTON: Investors have locked onto the U.S. central bank’s Sept. 17-18 meeting for the start of interest rate cuts that Federal Reserve Chair Jerome Powell has said will represent a “consequential” change in policy from the pandemic-era battle against inflation to a phase of easing monetary policy. Where the process ends up is uncertain. Shifts … Read more
Inflation “remains above” the U.S. Federal Reserve’s 2% target, but has been improving in recent months and “more good data would strengthen” the case for central bank interest rate cuts, Fed Chair Jerome Powell said on Tuesday in congressional testimony. In comments that appeared to show increasing faith that inflation will return to the Fed’s … Read more
The nation’s economy slowed last quarter, growing at an annual rate of 1.6 per cent in a sign that the high interest rates may be taking a toll on borrowing and spending. Thursday’s report from the Commerce Department said the gross domestic product – the economy’s total output of goods and services – decelerated from … Read more
Just a quarter of business economists and analysts expect the United States to fall into recession this year. And any downturn would likely result from an external shock – such as a conflict involving China – rather than from domestic economic factors such as higher interest rates. But respondents to a National Association of Business … Read more
