Blogs

Show news:


Jerome Powell Hints at Rate Cut

11 July 2019

During a testimony before the House Financial Services Committee yesterday, the Federal Reserve (Fed) chair, Jerome Powell, strongly hinted at the possibility that the Fed could soon cut interest rates.

The final decision, which may come about due to Donald Trump’s trade war creating risks to the US economy and a global economic slowdown, could be made later this month when the Fed will have its next meeting, according to the New York Times.

"It appears that uncertainties around trade tensions and concerns about the strength of the global economy continue to weigh on the US economic outlook," Powell said. This will be the first time that interest rates will be cut since the financial crisis if the cut goes ahead.

He also added that “we (the Fed) are carefully monitoring these developments” and “weak inflation will be even more persistent that we currently anticipate.”

Powell is under pressure by president Trump to lower borrowing costs and will appear before Congress again this week. He has previously stated that the Fed will not bend to political pressure.

Disclaimer:

Analysis and opinions provided herein are intended solely for informational and educational purposes and don't represent a recommendation or investment advice by TeleTrade. Indiscriminate reliance on illustrative or informational materials may lead to losses.


read other opinions of the author

Everything posted herein is the Personal Opinion of the Author(s) and does not represent a statement made by TeleTrade. TeleTrade is providing this for informational purposes.

Maria Gregoriou

Market focus

Calendar

July 2019
  • 2019
  • 2018
  • 2017
  • 2016
  • 2015
  • 2014
  • 2013
  • 2012
  • 2011
  • 2010
  • 2009
  • 2008
  • 2007
  • 2006
  • 2005
  • 2004
  • 2003
  • 2002
Mon
Tue
Wed
Thu
Fri
Sat
Sun
15
16
17
18
19
20
21
22
23
24
25
26
27
28
29
30
31
REGISTER FOR TRAINING