Tag: Interest Rates

Fed policymakers: September rate hike a question of how big, not if

“Market pricing for 50 basis points potentially in June and July, from the data we have in hand today, seems like a reasonable path,” Fed Vice Chair Lael Brainard told CNBC. But even if price pressures are starting to abate, the Fed will still likely raise rates, just by a smaller amount, she signaled. “Right now it’s very hard to see the case for a pause,” she told CNBC, noting there is “a lot of work to do” to get inflation, running at a 40-year-high, down to the Fed’s 2% target.
— Read on ca.finance.yahoo.com/news/fed-policymakers-september-rate-hike-191748678.html

Investor hopes for either a rate ‘pause’ or 25-basis-point hike in September are starting to slip away – MarketWatch

Financial markets are focused on where the Federal Reserve will go with rates in September, with hopes diminishing that it could back off half-point rate hikes.
— Read on www.marketwatch.com/story/investors-hopes-for-either-a-rate-pause-or-25-basis-point-hike-in-september-are-starting-to-slip-away-11654013563

European Central Bank chief signals possible July rate hike

FRANKFURT, Germany (AP) — The president of the European Central Bank on Monday gave the clearest sign yet that policymakers will aim to raise interest rates as soon as July to ease surging inflation. In a blog post on the Frankfurt, Germany-based bank’s website, President Christine Lagarde said she expects asset purchases that buoy the economy would end “very early in the third quarter.” “This would allow us a rate lift-off at our meeting in July, in line with our forward guidance,” she wrote. “
— Read on ca.finance.yahoo.com/news/european-central-bank-chief-signals-191021052.html

Fed Seeking to Find Where ‘Phantom Menace’ Neutral Rate Sits

(Bloomberg) — Federal Reserve Chair Jerome Powell and his colleagues are on the march to return ultra-loose monetary policy and accommodative financial conditions to more normal levels. The trouble is, their destination is uncertain and the terrain may be shifting as they forge forward with higher interest rates.Most Read from BloombergChina Finds New Virus Subtype as Daily Cases Exceed 13,000A 30-Year-Old Crypto Billionaire Wants to Give His Fortune AwayUkraine Update: Kyiv Warns Russia Is Add
— Read on ca.finance.yahoo.com/news/fed-seeking-where-phantom-menace-174323217.html

Goldman Sees Fed Hiking Seven Times in 2022 Instead of Five

(Bloomberg) — Sign up for the New Economy Daily newsletter, follow us @economics and subscribe to our podcast.Most Read from BloombergThe Housing Boom May Be About to Go BustThe Housing Party Is Starting to Wind DownTreasuries Sink With Stocks as Rate Bets Repriced: Markets WrapU.S. Inflation Charges Higher With Larger-Than-Forecast GainFed Doesn’t Yet Favor a Half-Point Hike or an Emergency MoveGoldman Sachs Group Inc. sees the Federal Reserve raising interest rates seven times this year to co
— Read on ca.finance.yahoo.com/news/goldman-sachs-now-predicts-fed-041037901.html

Traders Pricing Seven Fed Hikes This Year as Global Bonds Tumble

(Bloomberg) — Global bond yields soared as traders wagered that the Federal Reserve will raise policy rates by 175 basis points by the end of the year, even as officials pushed back against expectations of a super-sized hike next month. Most Read from BloombergThe Housing Boom May Be About to Go BustThe Housing Party Is Starting to Wind DownTreasuries Sink With Stocks as Rate Bets Repriced: Markets WrapU.S. Inflation Charges Higher With Larger-Than-Forecast GainFed Doesn’t Yet Favor a Half-Poin
— Read on ca.finance.yahoo.com/news/traders-now-betting-least-one-175136824.html