Bank of Canada Cuts Policy Rate by 50 Basis Points to 3.75% on Easing Inflation, Cooling Economy as Expected, Leaves Door Open for More Cuts
–BoC Repeats: Will Take Policy Decisions One Meeting at a Time –Governor Macklem: We Are Now Equally Concerned About Inflation Coming in Higher or Lower Than Expected –Macklem: Now Our Focus Is To Maintain Low, Stable Inflation; Need To Keep Inflation Where It Is By Max Sato (MaceNews) – The Bank of Canada on Wednesday […]
Powell: Fed in No Rush To Cut Rates; Will Move Faster Or Slower As Data Dictate …
– Powell Sees No More than 50 Basis Points of Further Cuts by End-2024 By Steven K. Beckner (MaceNews) – Federal Reserve Chair Jerome Powell said Monday that he and his fellow monetary policymakers will adjust the pace of future interest rate cuts based upon the pace of economic growth, employment and inflation, but are […]
Three Fed Presidents Defend FOMC’s 50 BP Rate Cut; Vague About Future Cuts
– Bostic: Lower Inflation, Bigger Job Risk Justified Big Cut but Must Be ‘Patient’ – Goolsbee Foresees ‘Many More Rate Cuts’; FFR Hundreds of Basis Points Over Neutral – Kashkari: Balance of Risks Has Shifted From Inflation to Unemployment By Steven K. Beckner (MaceNews) – Three Federal Reserve Bank presidents said Monday they are prepared […]
Fed Officials Agree It’s Time to Start Lowering Federal Funds Rate
– But Williams, Waller Won’t Say Size or Pace of Rate Cuts By Steven K. Beckner (MaceNews) – Two top Federal Reserve policy-makers strongly signaled Friday that the Fed will be cutting short-term interest rates for the first time since March 2020 when its rate-setting Federal Open Market Committee meets in mid-September. However, neither New […]
Japan Government Slightly Upgrades Its View on Economic Recovery after BOJ Conducts 2nd Rate Hike in July
By Max Sato (MaceNews) – Japan’s government upgraded its overall economic assessment for the first time in six months, noting consumer spending is supported by wage hikes and temporary income tax credits, but the change in wording is subtle and it continues to say the economy is recovering “moderately.” In its monthly report for August […]
Fed’s Powell Declares ‘The Time Has Come’ to Lower Federal Funds Rate
– Leaves Timing and Amount of Rate Cuts In Doubt – Says Inflation Risks Receding While Employment Risks Rising. By Steven K. Beckner (MaceNews) – Federal Reserve Chair Jerome Powell left no doubt Friday that he and his fellow monetary policymakers will begin lowering interest rates next month, but was far less clear about how […]
BofA Global Research Fund Manager Survey: Global Investors Buy Bonds on Declining Global Growth Expectations
–US Recession Concern Top Tail Risk –Sixty percent of Managers Expect Four Or More Fed Cuts in Next 12 Months By Vicki Schmelzer NEW YORK (MaceNews) – Global investors made a beeline into bonds in July, driven by declining world growth expectations, according to BofA Global Research’s monthly fund manager survey, released Wednesday. Jitters about […]
Fed Officials Remain Hesitant To Back Aggressive Rate Cuts Despite Weaker Job Data
– Consensus for 25 bp Cut in September Seemingly Intact, But Early or Larger Cut Doubtful By Steven K. Beckner (MaceNews) – When a disappointing July employment report and other worrisome economic indicators triggered a Wall Street sell-off, speculation mounted that the Federal Reserve would have to play catch-up and ease monetary policy more aggressively […]
Bank of Japan Board Members See Upside Risks to Inflation Outlook at July Meeting; Some Note Low Real Rates, Others Warn of Weak Consumption
–One Member Estimates Minimum 1% Neutral Rate, Calls for Gradual Pace of Rate Hikes By Max Sato (MaceNews) – Bank of Japan board members called for a close watch on upside risks to their inflation outlook amid labor shortages and higher import costs, with a majority seeking to justify a follow-up interest rate by pointing […]
FOMC Holds Funds Rate Steady; Powell Says Rate Cut Getting ‘Closer’
– FOMC Repeats Doesn’t Expect Rate Cut Til ‘Greater Confidence’ Inflation Headed To 2% – Powell: Rate Cut May be ‘On The Table” At Sept FOMC, But Need More Good Data – FOMC Statement More Upbeat About Inflation; Less Upbeat About Jobs By Steven K. Beckner (MaceNews) – The Federal Reserve refrained from cutting interest rates Wednesday but its rate-setting […]