Category: Federal Reserve

Fed Officials Bear Out Powell Saying December Rate Cut ‘Not Foregone Conclusion’

By Steven K. Beckner (MaceNews) – The outlook for U.S. monetary policy remained murky Thursday, following the latest barrage of comments from Federal Reserve officials…. Divisions among Fed policymakers have continued to emerge in wake of last Wednesday’s interest rate cut, leaving in doubt whether they will be able to agree on another reduction when […]

TRANSCRIPT: Fed Chair Powell Says December Rate Cut ‘Not a Foregone Conclusion’

–‘Strongly Differing Views’ About December FOMC WASHINGTON (MaceNews) – The following is a transcript of most of Federal Reserve Chair Jerome Powell’s Wednesday post-FOMC meeting news conference: … Beyond the next year or two, or so; however, most measures of longer-term expectations remain consistent with our 2% inflation goal. For monetary policy actions are guided […]

FOMC STATEMENT: Qtr-Point Cut as Expected; Ends Reduction of Aggregate Securities Holdings Dec 1

WASHINGTON (MaceNews) – The following is the Federal Open Market Committee’s policy statement released Wednesday: Available indicators suggest that economic activity has been expanding at a moderate pace. Job gains have slowed this year, and the unemployment rate has edged up but remained low through August; more recent indicators are consistent with these developments. Inflation […]

Former Fed Gov. Warsh: Would Implement ‘Regime Change’ if Named to Succeed Powell

By Steven K Beckner (MaceNews) – Former Federal Reserve Governor Kevin Warsh was sharply critical of the U.S. central bank Thursday evening— criticizing its forecasts and performance.  Warsh, who is said to be on President Trump’s short list to succeed Fed Chair Jerome Powell when his term expires in May, said that if he is […]

Powell Cites ‘Significant Downside Risks’ To Jobs; Puts Less Emphasis On Inflation

– Can’t Ease Too Quickly, But Easing Too Slowly Would Mean ‘Painful” Job Losses By Steven K. Beckner (MaceNews) – Federal Reserve Chairman Jerome Powell avoided giving an overt signal about what the Fed will do with interest rates later this month, but clearly leaned toward greater concern about a softening labor market than about […]

Fed Officials Wrestle with Appropriate Policy Path amid Data Fog

By Steven K. Beckner (MaceNews) – As they move closer to their penultimate monetary policy meeting of the year later this month, Federal Reserve policymakers continue to give mixed signals on the path of interest rates. While there have been overt calls for additional rate cuts, and while some officials have indicated an openness to […]

NY Fed’s Williams: FOMC Has ‘Balancing Act’ Between Inflation, Employment

– Monetary Policy Still Restrictive; To Make Meeting-by-Meeting Judgment on Risks – Employment Risks Up; Inflation Pressure Lessening; Tariffs Not As Bad As Feared – Other Fed Officials More Hesitant To Cut Funds Rate Furthermore By Steven K. Beckner (MaceNews) – After cutting interest rates mid-month to guard against “undue” weakness in the labor market […]

Fed Officials Continue to Diverge on Where Funds Rate Should Go in Future

By Steven K. Beckner (MaceNews) – Federal Reserve officials  have expressed general support for lower interest rates this week  but have diverged on how much further monetary easing might be warranted. Some officials have made clear they want additional cuts in the key federal funds rate after the Fed’s rate-setting Federal Open Market Committee voted […]

FOMC Cuts Fed Funds Rate 25 Basis Points; Further Rate Cuts Projected

– Powell: Increased Downside Labor Risks Motivated FOMC to ‘Move Toward Neutral’ – SEP Projects 3.6% Funds Rate End ‘25; 3.4% End ‘26; 3.1% End ‘27 By Steven K. Beckner (MaceNews) – After holding its interest rate settings steady for nine months, despite growing pressure from President Trump, the Federal Reserve finally lowered them Wednesday, […]