Best Rate Direct

“The time for rates hike not right,” Bullard to Federal Reserve Bank.

September 5, 2018 by Jason Shortes

The Federal Reserve Bank of St. Louis President James Bullard admonished management members to halt raising rates again, however, Bullard appeared resolved that a move higher this month is pretty much a done deal.

The bank president while speaking in an interview on Fox Business Network on Tuesday complimented the economy saying: “we’ve got a pretty good policy right now and we should stay where we are and see how the data come in.”

Furthermore, the interest-rate setting Federal Open Market Committee is expected to sit later this month to increase the current rate to their target rate, whose current threshold is 1.75% and 2%. However, Mr. Bullard can do only little, as he is currently not a voting member of the committee.

Also, the president while speaking with Fox Business Network reiterated his view on rate increases; unluckily, his colleagues share a dissenting view about the looming September rate rise, in Bullard’s own words he says: “markets are putting a high probability on it. And if you talk to my co-workers, most of them seem to be speculating a high probability as well.”

The president of the Federal Reserve Bank also noted that the bond market is currently in good shape because the difference between short and long term dated yields has diminished considerably. Thus the favorable condition in the bond market is unsupported by raising rates at the moment. That is because more rate hikes could cause that relationship to turn negative, and if it did, that is a strong signal a recession may follow.

Putting in Bullard’s own words, he says: “We’re in good shape, and I think what we could do is take the signs from financial markets that are telling us that we’re almost where we need to be right now, for instance the yield curve, is very flat. I’d rather not see an inverted yield curve in the U.S. That’s usually a signal of a slowdown ahead.”

For comments and feedback: editor@bestratedirect.com

Filed Under: Bank Rates, Economic Rates, News

Recent News

  • LaunchTN Opens Application for Their $7M SBIR/STTR Matching Fund
  • NexPoint Diversified Real Estate Trust Declares Regular Monthly Distribution
  • Synergy One Lending announces their NEW Bridge Loan Product
  • SK networks’ Hico Capital invests in a US tractor automation solution provider
  • Allspring Closed-End Funds Declare Monthly Distributions
  • Allspring Closed-End Funds Declare Monthly Distributions
  • The Wendy’s Company Comments on Amended 13D Filing from Trian Partners
  • Artel Electronics LLC becomes the largest private company to place bond on Tashkent Stock Exchange
  • Artel Electronics LLC platziert als größtes privates Unternehmen eine Anleihe an der Taschkenter Börse
  • Weatherford joins Russell 3000® Index
bravesites

austria

armorgames street view maps city presents street view maps Maps wikidot.com coub prweb ello scoop travel as soon as possible weebly.com jimdofree. page.tl funadvice listography Miami Chicago angelfire wikidot weebly mytripjournal patch webnode webs webs marseillefrance webgarden blog.fc2 eklablog worldvoyage copenhagen denmark bangkok thailand orlando theme parks mexique bresil bravesites behance dailykos ted travel maps app Travel Guides The History

Copyright © 2022 · Contact US