- Analytics
- News and Tools
- Market News
- FOMC Minutes: Negative rates out of the question – UOB
FOMC Minutes: Negative rates out of the question – UOB
FXStreet reports that Senior Economist at UOB Group Alvin Liew assessed the recent publication of the FOMC minutes.
“The latest federal open market committee (FOMC) minutes revealed that the Fed pursued a ‘a forceful monetary policy response’ to the coronavirus disease (COVID-19) pandemic by lowering the fed funds target rate (FFTR) by an unprecedented 100bps to 0.0-0.25% (global financial crisis (GFC) low), restarting quantitative easing (QE) and introducing various measures to ‘support the credit needs of households and businesses’.”
“As for policy guidance, the Fed pledged to maintain rates at the low rate until the economy has weathered the recent events (COVID-19) and return on track to achieve the FOMC’s dual mandates of maximum employment and price stability. There was no discussion on the prospect of negative rates.”
“The Fed has demonstrated it will do whatever it takes, beyond interest rate cuts and asset buying, to restore financial market stability, smooth out US dollar funding conditions and safe-guard the economy. That said, the Fed will do whatever it takes, except negative rates.”
© 2000-2024. All rights reserved.
This site is managed by Teletrade D.J. LLC 2351 LLC 2022 (Euro House, Richmond Hill Road, Kingstown, VC0100, St. Vincent and the Grenadines).
The information on this website is for informational purposes only and does not constitute any investment advice.
The company does not serve or provide services to customers who are residents of the US, Canada, Iran, The Democratic People's Republic of Korea, Yemen and FATF blacklisted countries.
Making transactions on financial markets with marginal financial instruments opens up wide possibilities and allows investors who are willing to take risks to earn high profits, carrying a potentially high risk of losses at the same time. Therefore you should responsibly approach the issue of choosing the appropriate investment strategy, taking the available resources into account, before starting trading.
Use of the information: full or partial use of materials from this website must always be referenced to TeleTrade as the source of information. Use of the materials on the Internet must be accompanied by a hyperlink to teletrade.org. Automatic import of materials and information from this website is prohibited.
Please contact our PR department if you have any questions or need assistance at pr@teletrade.global.
Bank transfers
