The year-on-year rate of inflation in the United States it continued to drop in December, for the sixth consecutive month, and stood at 6.5%, six tenths below that of November, according to data published this Thursday by the Bureau of Labor Statistics. In monthly terms, consumer prices fell by one tenth, at a time when […]
Tag: Fed
Powell: Fed needs independence to fight inflation, should avoid climate policy
The Federal Reserve’s independence from political influence is critical to its ability to fight inflation, but requires it to steer clear of issues like climate change that are beyond its mandate set by Congress, the Federal Reserve said Tuesday. Fed Chairman Jerome Powell. “Restoring price stability when inflation is high may require measures that are […]
Wall Street expects Big Tech to rise as Fed halts hikes
Tech bulls on Wall Street are counting on mega-cap industry stocks to move higher before long and start a rally in the S&P 500. The hope is that the Federal Reserve is close to concluding its campaign to fight inflation and that technology companies, the group that has suffered the most from interest rate hikes, […]
Fed’s Bostic says open to hike size at next meeting
“Today, I would be comfortable with a 50 or a 25 increase, and if I start to hear signs that the labor market is starting to ease a bit in terms of its tightness, then I might lean more towards a 25 basis point hike.Bostic said Friday during an interview with CNBC. Your top rate […]
Investor bets on risky assets undermined by strike threats
While signs that inflation has peaked have fueled bets on everything from a weaker dollar to a rebound in global stocks this 2023, there is growing concern among some market strategists that a break in labor costs will hamper the flow of money from havens to assets that thrive in an economic boom. Warning signs […]
Global economy faces a tougher year in 2023, says IMF
For much of the World economy2023 will be a difficult year, since the main engines of growth, the United States, Europe and China, will experience a weakening of activityas commented, this Sunday, January 1, the managing director of the International Monetary Fund (IMF), Kristalina Georgieva. The new year is going to be “tougher than the […]
US companies buy back fewer shares amid recession fears
Firms in the S&P 500 index bought back just over $200 billion of their own shares during the third quarter, marking the slowest quarter for buybacks since the middle of last year and putting them about 25% below levels observed in late 2021 and early 2022, according to data compiled by Bloomberg. The pullback undermines […]
Powell: It’s too early to talk about lowering Fed rates
“Our focus now is really on taking our monetary policy stance to one that is tight enough to ensure a return of inflation to our 2% target over time, not on rate cuts.”, Powell said at the press conference after the last Fed meeting, where the central bank raised its short-term rate target by half […]
Cooling inflation bolsters Fed hike pause idea
A key gauge of the US consumer price index, so-called core inflation, which excludes food and energy, posted its smallest monthly advance in more than a year last month, according to a Labor Department report released Tuesday. The dovishment was broad-based, with a measure of utility prices favored by the Fed chair, Jerome Powellalso slowing […]
Fed begins monetary policy meeting and moderation in rate hikes is expected
The US Federal Reserve (Fed, central bank) began its two-day monetary policy meeting on Tuesday, during which it should moderate interest rate increases after positive inflation data in the United States. It will also publish its updated forecasts for US GDP growth, inflation and unemployment. The meeting of the monetary policy committee (FOMC) “started at […]