Fed's Powell Says Case for Gradual Rate Hikes Still 'Strong'
Wednesday, 20 June 2018 21:12 WIB | FISCAL & MONETARY |Federal ReserveThe Fed

Federal Reserve Chairman Jerome Powell repeated the case he's laid out for raising interest rates to keep the world's largest economy on a sustainable path, citing broad support among his colleagues at the U.S. central bank.

'With unemployment low and expected to decline further, inflation close to our objective, and the risks to the outlook roughly balanced, the case for continued gradual increases in the federal funds rate is strong,' he said in opening remarks Wednesday at a European Central Bank forum in Sintra, Portugal.

His comments come a week after the Fed raised rates for the second time this year in response to quickening growth and falling unemployment. The median projection from Fed officials for the number of rate hikes this year also rose to four from three.

After his remarks, Powell will participate in a panel discussion with ECB President Mario Draghi, Bank of Japan Governor Haruhiko Kuroda and Reserve Bank of Australia Governor Philip Lowe.

Powell discussed the benefits of low unemployment and a tight labor market for many Americans, while noting a persistently strong economy can pose risks to inflation and perhaps financial stability.

œIn the current environment, significant uncertainty attends the process of making monetary policy, he said, though he added that he currently sees U.S. financial stability vulnerabilities as moderate. œWhile some asset prices are high by historical standards, I do not see broad signs of excessive borrowing or leverage, he said.

Unemployment in the U.S. dropped to 3.8 percent in May, matching April 2000 as the lowest level for joblessness since 1969. Though it has edged up in recent months, the Fed™s preferred measure of year-over-year inflation, after excluding volatile food and energy components, remained below the central bank™s 2 percent target in April at 1.8 percent.

œWage growth has been moderate, consistent with low productivity growth but also an indication that the labor market is not excessively tight, Powell said.

Source: Bloomberg


Fed Chief Powell Says He Thinks Core Inflation Picked Up a Bit in June
Wednesday, 17 July 2019 00:16 WIB

Federal Reserve Chairman Jerome Powell said Tuesday that the central bank now estimates that a key measure of core inflation increased in June to its highest level in four months but added that, despite the acceleration, inflation pressures œremain muted. In a speech to the Bank of France in P...

RBA Monitoring Job Market Closely, to Adjust Rates If Needed
Tuesday, 16 July 2019 08:53 WIB

Australia's central bank is focused on the jobs market and said it will adjust policy if needed to support economic growth and keep inflation on track to return to target. In minutes of its July 2 meeting, when it cut interest rates for a second month to a record-low 1%, the Reserve Bank noted wage...

Powell says U.S. economy was hit by 'confidence shock' - it has only partly recovered
Thursday, 11 July 2019 23:00 WIB

Federal Reserve Chairman Jerome Powell said Thursday that the U.S. economy was hit by a severe œconfidence shock in May from which it has only partly recovered. œYou saw business confidence surveys¦quite negative, fairly broadly, Powell said, in testimony to the Senate Banking Committee...

'Many' Fed Officials Said in June They'd Be Willing to Cut Interest Rates if Uncertainty Still Weighs on Outlook, Minutes Show
Thursday, 11 July 2019 01:18 WIB

Many Federal Reserve officials said in their meeting in June that they would be willing to cut interest rates if the economy continued to struggle in coming weeks, according to minutes of the discussion released on Wednesday. Officials appeared caught off guard in mid-June about sudden "significant...

Powell speech: Weak inflation could be even more persistent than Fed currently anticipates
Wednesday, 10 July 2019 21:00 WIB

In his prepared statement to be delivered at his semi-annual testimony to the Congress, Jerome Powell, Chair of the Board of Governors of the Federal Reserve System, reiterated that the Fed will act 'as appropriate' to sustain the U.S. economic growth. With the initial reaction to Powell's statemen...

Tokyo Shares Rise as Investors Await Earnings; Chip Sector Rallies
Tuesday, 23 July 2019 09:57 WIB Japanese stocks edged higher on Tuesday morning, with the semiconductor sector leading the gains, tracking Wall Street moves, though trading remained thin ahead of the domestic earnings season for the April-June quarter. The benchmark Nikkei share...


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.