Federal Reserve cuts growth forecast, predicts no more rate hikes in 2019
Jerome H. Powell, chair of the Federal Reserve, waits to begin a Senate Banking Committee hearing in Washington. . By Heather Long Heather Long Economics correspondent Email Bio Follow March 20 at 4:27 PM The Federal Reserve on Wednesday suggested it would not raise interest rates in 2019, a dramatic about-face that indicated the central bank’s worries about the economy are intensifying.
The Fed pulled back from its plan to raise interest rates as Europe and China deteriorated economically and U.S. consumers and businesses showed worrying signs of lower spending. Those concerns have been amplified as companies such as FedEx predict a mediocre year and trucking volumes have declined. “Powell is beginning to spook the market. There were lots of ‘What does the Fed know that is so troubling?’ tweets today,” said Peter Atwater, president of Financial Insyghts.
While the Fed is predicting significantly slower growth in 2019, Powell indicated there was little worry about a recession. The kind of growth the Fed now predicts for this year resembles the Obama economy, a solid but not spectacular trajectory that should enable more people to find jobs and negotiate for higher pay.“The [Fed] is attempting to engineer a soft landing for an economy that rapidly decelerated during the first quarter of 2019 amid global economic headwinds, volatility across asset space, and policy risks associated with U.S. trade policy,” Joseph Brusuelas, chief economist at RSM, wrote in a blog post.
इंडिया ताज़ा खबर, इंडिया मुख्य बातें
Similar News:आप इससे मिलती-जुलती खबरें भी पढ़ सकते हैं जिन्हें हमने अन्य समाचार स्रोतों से एकत्र किया है।
Oil and equities prepare to party like it's 1999: KempInvestors seem to be betting history will repeat itself, with the Federal Reserv...
और पढो »
The Latest: Federal Reserve signals no rate hike in 2019BREAKING: The Federal Reserve is leaving its key interest rate unchanged and projecting no rate hikes in 2019, dramatically underscoring its plan to be 'patient' about any further increases.
और पढो »
Fed downgrades U.S. growth forecast and signals no more rate hikes until 2020Federal Reserve officials on Wednesday downgraded their estimate for U.S. economic growth this year to just 2.1% amid a slowdown here and abroad — while signalling there will be no more interest rate hikes until 2020.
और पढो »
Fed signals no rate cuts are coming in 2019CNN News, delivered. Select from our newsletters below and enter your email to subscribe.
और पढो »
WSJ Survey: Economists Cut Forecasts for Jobs and Economic Growth in Early 2019Economists sharply lowered their forecasts for employment and economic growth in the first quarter in a new Wall Street Journal survey, after recent government data suggested the U.S. economy is cooling.
और पढो »
Federal Reserve Interest-Rate Decision—Live AnalysisFederal Reserve officials are on track to leave interest rates unchanged at their two-day meeting ending today and could indicate at 2 p.m. EDT they are comfortable holding them steady for a while. We'll have all the details plus video of Fed Chairman Jerome Powell's press conference at 2:30 p.m. EDT.
और पढो »
Federal Reserve Rate Projections Could Show Greater Confidence in Extended PauseFederal officials are likely to end their meeting this week signaling little if any appetite to raise interest rates this year, part of a strategy designed to reduce the risks of a sharp slowdown in global growth.
और पढो »
German economic advisors slash 2019 growth forecast to 0.8 percentA panel of advisers to the German government slashed its growth forecast for thi...
और पढो »
Saudi signals OPEC may need to extend oil cuts until end-2019Saudi Arabia said on Sunday OPEC's job in rebalancing the oil market was fa...
और पढो »
Fed now sees no rate hikes in 2019The Federal Open Market Committee released its quarterly economic forecast, which includes the so-called dot plot of where members anticipate interest rates to head.
और पढो »