Fed, Trump and interest
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Federal Reserve officials are determined to hold interest rates steady a little while longer, though an increasingly contentious debate at this week’s policy meeting may bolster expectations for rate cuts in the fall.
Officials are split into three camps over what economic evidence they need before resuming rate reductions. Two governors are prepared to dissent on Wednesday.
President Trump clashed with Federal Reserve Chair Jerome Powell as more lawmakers weigh in on a need for an interest rate cut. CBS News' Kelly O'Grady reports.
Airline sector shows resilience with strong demand and positive earnings, indicating robust consumer and corporate spending despite earlier geopolitical concerns. Netflix reporting after close, remains a streaming leader, but valuation concerns persist; overall, stocks continue mild melt-up with benign retail and jobless data supporting stability.
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Money Talks News on MSNCaught in the Rate Debate: What Political Pressure on the Fed Means for Your Money
Market reactions to potential rate cuts are often positive in the short run, though the optimism can fade quickly if inflation increases, CNBC highlights from interviews with financial analysts. Higgins emphasizes that the pattern of premature cuts followed by renewed hikes could stoke volatility.
The solution isn’t to fire Powell, it’s to cure the underlying disease, which is excessive government spending.
At least three Federal Reserve policymakers spoke out this week in favor of holding interest rates steady for the time being, in contrast to two who said they were open to the idea of cutting the fed funds rate in July,
For decades in the grain industry, we have heard this point repeatedly emphasized: the U.S. dollar is a major factor for importers buying U.S. grains. The U.S. dollar has been in a major downtrend for months, down 11% year-to-date. It was recently announced that the U.S. dollar had its worst 6-month price action since 1973.
When central banks are pressured by politicians into overheating the economy, everyone ends up getting burned.
The debate over Florida's state budget continues in Tallahassee, and the Federal Reserve decided to leave interest rates unchanged for the third time. As the budget battle continues in Tallahassee ...