Fed lifts rates in Powel's first meeting, says economic outlook has strengthened
Thursday, 22 March 2018 01:40 WIB | FISCAL & MONETARY |Federal ReserveThe Fed

The Federal Reserve on Wednesday lifted a key U.S. interest rates as expected and was upbeat about the road ahead, saying the economic outlook had strengthened despite some slowdown in the first quarter.

In the first meeting of Fed Chairman Jerome Powell, the central bank avoided sending any overtly hawkish signal about its interest-rate policy.

The Fed stuck to its December forecast of three interest-rate hikes this year. The central bankers did push up their expected rate path in 2019 and 2020.

As widely expected, the Fed raised its benchmark federal-funds rate by a quarter percentage point to between 1.5% and 1.75%. That is the sixth quarter-point move since December 2015.

In its statement, the Fed said œthe economic outlook has strengthened in recent months, while noting that household and business fixed investment œhave moderated from their strong fourth-quarter readings.

The Fed now sees a total of eight quarter-point hikes in the fed-funds rate through the end of 2020 ” three this year (including Wednesday™s move), three in 2019 and two in 2020 ” with rates ending up near 3.4%.

That™s above the Fed™s revised estimate of longer-run neutral federal-funds rates. The Fed ticked up its estimate of the long-run neutral interest rates to 2.9% from 2.8% in December. That is the rate that is neither boosting nor tightening economic conditions.

Many economists had expected the Fed to pencil in four interest-rate increases this year at this meeting. Before the meeting, financial markets saw almost a 40% chance of four moves.

But other economists said the slowdown in growth in the first quarter gave the Fed room to wait. They argued the Fed could easily signal it intends to boost interest rates four times at its June meeting if economic conditions warrant.

Source: Marketwatch

RELATED NEWS

RBA Sees Strong Growth Cutting Unemployment, Lifting Inflation
Tuesday, 17 July 2018 09:26 WIB

Bank sentral Australia mengharapkan ekonomi yang menguat untuk secara bertahap mengurangi pengangguran dan mengangkat inflasi, menegaskan kembali tidak ada kasus yang kuat untuk langkah kebijakan jangka pendek. "Inflasi tetap rendah, mencerminkan pertumbuhan yang rendah dalam biaya tenaga kerja dan...

Draghi Says Euro-Area Inflation Path Appears Self-Sustained
Monday, 9 July 2018 21:14 WIB

Mario Draghi mengatakan peningkatan inflasi zona euro berada di jalur mandiri, memungkinkan Bank Sentral Eropa untuk menarik pembelian obligasinya meskipun meningkatkan tensi perang perdagangan global. Mengulangi bahasa baru-baru ini dari ECB, Draghi mengatakan risiko utama terkait dengan "ancaman ...

Fed minutes: Negative risks to economy from U.S. trade policy have intensified
Friday, 6 July 2018 04:02 WIB

The Federal Reserve pada awal Juni melihat bahwa risiko negatif dari kebijakan perdagangan AS "telah meningkat" dan dapat memiliki efek negatif pada sentimen bisnis dan pengeluaran investasi, menurut risalah pertemuan kebijakan mereka yang dirilis hari Kamis. Banyak kontak bisnis bank sentral telah...

Australia Holds Key Rate as Currency Drop Offers Export Support
Tuesday, 3 July 2018 12:52 WIB

Australia mempertahankan suku bunga utamanya tidak berubah pada rekor rendah pada Selasa karena penurunan mata uang baru-baru ini membantu perekonomian dengan menawarkan eksportir beberapa penyekatan terhadap lonjakan perdagangan global. Gubernur Reserve Bank Philip Lowe mempertahankan suku bunga d...

ECB Says Protectionist Measures Are Key Risk to Global Growth
Thursday, 28 June 2018 16:53 WIB

Bank Sentral Eropa mengatakan risiko terhadap ekonomi global dari meningkatnya proteksionisme yang meluas bisa menjadi "signifikan." Lembaga yang berbasis di Frankfurt memperingatkan dalam Buletin Ekonomi pada hari Kamis bahwa pertumbuhan global - sudah diperkirakan akan melambat karena banyak nega...

ANOTHER NEWS
Hong Kong stocks sharply lower by break
Tuesday, 17 July 2018 11:40 WIB Hong Kong stocks tumbled Tuesday morning, dragged by heavy selling in energy firms a day after oil prices were hammered by fresh supply glut fears. The Hang Seng Index fell 1.00 percent, or 284.81 points, to 28,254.85. Source: AFP

DISCLAIMER

Seluruh materi atau konten yang tersaji di dalam website ini hanya bersifat informatif saja, dan tidak dimaksudkan sebagai pegangan serta keputusan dalam investasi atau jenis transaksi lainnya. Kami tidak bertanggung jawab atas segala akibat yang timbul dari penyajian konten tersebut. Semua pihak yang mengunjungi website ini harus membaca Terms of Service (Syarat dan Ketentuan Layanan) terlebih dahulu dan dihimbau untuk melakukan analisis secara independen serta memperoleh saran dari para ahli dibidangnya.