Federal Reserve holds steady on rate hikes for now

Sep 21, 2023
Announcing its decision yesterday, the Fed also signaled it could hike rates one more time before year's end.
In his news conference on Wednesday, Fed Chair Jerome Powell acknowledged that there are economics headwinds that could make a soft landing more difficult.
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What the Fed's Summary of Economic Projections can reveal

Sep 20, 2023
The quarterly report gives clues about how members of the Federal Open Market Committee see the economy and what future steps they might take.
In addition to an announcement on interest rates, the Federal Reserve will release its Summary of Economic Projections on Wednesday.
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As Federal Reserve meets, economic headwinds blow

Sep 19, 2023
Consumers facing high energy prices and other burdens may cut back on spending, cooling the economy but, the Fed hopes, not sending it into recession.
The Federal Reserve hopes that things like rising energy prices will help curb consumer spending without spawning a recession.
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Businesses are telling the Federal Reserve they think wage gains are subsiding

Sep 8, 2023
That could be a sign that the Fed's interest rate hikes are working and the economy is cooling.
Though wage growth has been falling, inflation has been falling even faster.
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Decreasing inflation by a final percentage point may be the hardest challenge for the Fed

Aug 25, 2023
Here's why the last part of getting to that 2% inflation target might be like trying to lose that last 10 pounds.
Fed Chair Jerome Powell’s speech from the Jackson Hole Symposium is televised on the floor of the New York Stock Exchange on Friday.
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Will we get less gloom and doom from Jay Powell at Jackson Hole?

Aug 17, 2023
In 2022, Powell warned of painful moves to get inflation under control.
At last year's 
Jackson Hole Symposium, Fed Chair Jerome Powell warned of the pain that rising interest rates will cause.
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What comes after a soft landing?

Aug 16, 2023
There are only so many options. Ideally, they don't include a boom or a bust.
If the Federal Reserve tames inflation and avoids a recession, it will want to maintain the status quo — without a boom or a bust.
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For public good, not for profit.

What kind of signal does FOMC unanimity send to markets and others watching the economy?

Aug 16, 2023
Dissent on interest rate decisions might send mixed messages to Wall Street about where the economy is headed.
Under Federal Reserve Chair Jerome Powell, the FOMC has not had a single dissenting vote on interest rates since June of last year, which former FOMC member Tom Hoenig wasn't surprised by.
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U.S. equity investors think stocks are too expensive, survey finds

Aug 16, 2023
S&P Global’s investment manager index survey says most sectors are losing favor with investors. What's going on?
Climbing interest rates are pushing investors away from stocks and into bonds, per Gary Schlossberg with the Wells Fargo Investment Institute.
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Why the Fed could eventually cut interest rates again

Aug 15, 2023
Goldman Sachs economists predict rate reductions next year based on declining inflation, which would make high rates unnecessary.
The Federal Reserve has been raising the federal funds rate to bring down inflation. If inflation declines further, high rates might be unnecessary.
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