Fed Officials Keeping Monetary Policy Sidelined in Face of Tariff War
– Barkin: Economy ‘In Very Dense Fog’; Fed Must Handle With ‘Judgment’ – Kashkari: Bar for Rate Cuts Has Risen Due to Inflation Concerns – Musalem: Bar for Cutting Rates Higher As Both Inflation, Recession Risks Up – Daly: Fed Must ‘Tread Slowly and Tread Carefully” By Steven K. Beckner (MaceNews) – Federal Reserve officials […]
Fed’s Powell: FOMC Must Wait For Greater ‘Clarity’ Before Changing Policy
– Uncertainty High Amid Trump Policy Changes, But Economy Still ‘In A Good Place’ – Fed Doesn’t Need To Be ‘In A Hurry’ to Lower Rates By Steven K. Beckner (MaceNews) – Federal Reserve Chair Jerome Powell said Friday the Fed has to wait for more “clarity” on the economic effects of the Trump administration’s […]
StL Fed’s Musalem: Must Lean Against Inflation If Expectations Become Unanchored
– May Have To Leave Rates Unchanged Longer Or Hike Rates If Inflation Worsens By Steven K. Beckner (MaceNews) – Although downside risks to the labor market have increased, so have upside risks to inflation and inflation expectations, and such a combination could create a difficult monetary policy dilemma, St. Louis Federal Reserve Bank President […]
FOMC Holds Funds Rate Steady, Participants Project 50bp of 2025 Rate Cuts
– Powell: ‘Not in Any Hurry to Move,’ ‘Well Positioned to Wait For Clarity’ – SEP Retains December Dots While Forecasting More Inflation, Less GDP Growth – Powell: Slower Pace of Balance Sheet Run-Off Has No Monetary Policy Import By Steven K. Beckner (MaceNews) – Faced with softer economic activity and uncertainty about the outlook […]
FOMC: Standstill Policy Statement Accompanied by Dot Plot Assumptions Still for Two Rate Cuts This Year
WASHINGTON (MaceNews): The Federal Ope Market Committee Wednesday provided no surprises in its latest policy statement and the dot plot of participants still saw two rate cuts this year. The text of the statement follows: Recent indicators suggest that economic activity has continued to expand at a solid pace. The unemployment rate has stabilized at […]
BofA Global Research Fund Manager Survey: Global Investor Sentiment Plunges as Macro Pessimism Surges
–US Equity Allocation Sees Biggest Monthly Drop on Record By Vicki Schmelzer NEW YORK (MaceNews) – A drop in expectations that the U.S. economy will outperform and rising worries about the global economy prompted a “bull crash” in global investor sentiment in March, according to BofA Global Research’s monthly fund manager survey, released Tuesday. When […]
Bank of Canada Continues to Provide Measured Rate Relief Amid High Uncertainty over Growth, Inflation Triggered by Trade War
–BOC Trims Policy Rate By 25 Basis Points To 2.75% in 7th Straight Rate Cut as Widely Expected–Governor Macklem: Governing Council Will Proceed ‘Carefully’ with Any Further Changes to Policy Rate–Macklem: Council Didn’t Seriously Consider 50-Basis Point Cut Due to Uncertainty Over When and How Much Trade War Will Boost Prices–BOC Surveys: Threats of New […]
Preview: Bank of Canada Set to Lower Policy Rate Further to 2.75% Today; More Cuts Expected amid High Uncertainty Created by Trump Tariffs
By Max Sato (MaceNews) – The Bank of Canada on Wednesday is widely expected to trim its policy interest rate – the target for overnight lending rates – by another 25 basis points to 2.75% from 3.0%, conducting its seventh straight rate cut, first to ease the pain of high borrowing costs caused by its […]
Powell Repeats Economy ‘In Good Place’: FOMC Needn’t Be in Hurry To Ease
– Largely Brushes Off Signs of Softening, Uncertainty For Now – Economy Doesn’t Need Fed to Do Anything: ‘We Can And We Should Wait’ – Other Fed Officials Sounding More Concerned About Economic Outlook By Steven K. Beckner (MaceNews) – Federal Reserve Chairman Jerome Powell continued Friday to say that the Fed need not be […]
TARIFFS STATE OF PLAY: Confusion as Tariffs and Tariff Threats Multiply
WASHINGTON (MaceNews) – As one round of tariffs took effect Tuesday and more were threatened, rampant uncertainty permeated plunging U.S. stock markets while interest rates continued to dramatically ease. Analysts found themselves giving contradictory assessments on the business channels as the probabilities for more Federal Reserve rate cuts this year were coupled with dire predictions […]