- Analytics
- News and Tools
- Market News
- Fed’s Bullard: Latest FOMC projections suggest one more rate hike
Fed’s Bullard: Latest FOMC projections suggest one more rate hike
St. Louis Federal Reserve President James Bullard said on Friday that the United States remains in a position to see disinflation in 2023. They will see if the Fed may need to react more. He sounded optimistic, by saying the he expected the Fed to be dealing more with the strong economy in the coming months and not worrying as much about financial stresses.
Bullard sees an “80% chance” that financial stress will abate, and the discussion will shift back to inflation. According to him, the other outcome with a lower probability, is a recession. He cautioned that there could be downside risks if financial stress worsens.
The probability of a global crisis from recent stress is low, said Bullard. He mentioned that the Fed will continue to monitor the situation closely and will take appropriate action if necessary.
St. Louis Fed President argued that in response to the strong economy, the terminal rate for this year was raised by 25 basis points to a range of 5% to 5.75%, taking the assumption that financial stress subsides.
Regarding the interest rate path, Bullard said the projections suggest one more rate hike that could be at the next FOMC meting or soon after.
Fed's Bullard: Swift response to bank stress allows monetary policy to focus on inflation
© 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
