The Fed Will Struggle to Back Off Big Cuts Now
The Fed will have to make bigger cuts to keep rates down for longer. The Federal Reserve's decision to start cutting interest rates on Wednesday High-speed rates are expected to decline. Wall Street is skeptical that the current policy rate is Very restrictiveEven after this week's half-point rate cut, the current policy stance is considered […]
EUR/USD grapples with higher ground as Fed cuts weigh on Greenback – FXStreet
EUR/USD traded at the 1.1150 level on Thursday. Broad-based dollar selling has led to bullish trends in U.S. dollar-based currency pairs. Eurozone data remains weak as markets focus on Fed rate cuts. EUR/USD made higher highs on Thursday and held firm above the 1.1150 level, but most of the bullish momentum for this pair is […]
The Fed cut rates by half-point: What to know
Claman Countdown panelists Gabriela Santos and Kenny Porcari analyze the impact of the Federal Reserve's interest rate cut. of Federal Reserve System The central bank cut its benchmark federal funds rate by 50 basis points on Wednesday, the first cut in interest rates since March 2020, amid progress in battling inflation. Interest rate traders had […]
Biden to give 'declaration of progress' to economic club after Fed cuts
President Biden is scheduled to speak to the Economic Club of Washington, D.C. on Thursday in which he will make a “declaration of progress,” a day after the Federal Reserve cut interest rates. White House chief of staff Jeff Zients predicted that Biden's speech would be “not a declaration of victory but a declaration of […]
Australian Dollar advances despite Fed caution, awaits PBoC Interest Rate Decision – FXStreet
The Australian dollar rose after new job creation rose more than expected in August. Australian employment change increased by 47.5K in August, beating the consensus forecast of 25.0K. The Federal Reserve's significant interest rate cuts demonstrate its determination to protect the labor market and protect the economy from recession. The Australian Dollar (AUD) has recovered […]
Emboldened Fed lowers interest rates by half-point
The Federal Reserve cut interest rates by 50 basis points on Wednesday, the central bank's first rate cut after a two-and-a-half-year battle with rampant inflation sparked by the pandemic. The new federal funds rate will be 4.75% to 5%, a significant cut that signals the Fed's confidence that the fight against inflation is nearing an […]
The Fed Tied Its Own Hands with Rate Cut Decision
Speaking on Fox Business Network's “Kudlow” show on Wednesday, Breitbart News economics editor John Carney said the Fed should have waited until after the election to cut interest rates, and that announcing a 50 basis point cut now would force the Fed to do the same thing in November. Carney said:[T]They should have waited until […]
Michelle Bowman becomes first Fed governor to dissent since 2005
Federal Reserve Governor Michelle Bowman voted against the Fed's 50 basis point interest rate cut on Wednesday, becoming the first official since 2005 to vote against a Fed interest rate decision. Bowman was the only Fed governor to stand apart from the 11 other voting governors in voting for a half-percentage point cut in the […]
What The Election Means for Fed Policy
What a Trump victory could mean for Fed policy The Federal Reserve's decision on Wednesday to cut interest rates by half a percentage point is widely seen as the start of a cycle of easing monetary policy. The big question is: How will this year's election affect the pace and extent of Fed rate cuts?. […]
Powell pushes back on suggestion Fed got behind in rate cuts
The Federal Reserve cut interest rates by half a percentage point on Wednesday and is expected to cut them by another half a percentage point at its two remaining meetings this year, signaling a faster pace of monetary stimulus than analysts had expected over the summer. The Fed now sees interbank lending rates falling to […]