Federal Reserve set to cut interest rates by another quarter of a percentage point this week.
“I think the market is very clearly expecting a cut this meeting. They’ve had ample opportunity to push back on that but no one has, so I think a cut is baked in,” McMillan said.
“The consumer is in solid shape, but retail sales have expanded at an inconsistent pace. That mandates the Fed take a little bit longer view to truly determine where things sit,” said Greg McBride, chief financial analyst at Bankrate.com. Goldman Sachs economist Spencer Hill also said this anticipated rate cut, which would be the third in as many consecutive meetings, is likely to be the last one in the near term.
Wall Street has always parsed the chairman’s words carefully for hints of future policy moves, but the increasingly divided makeup of the Fed board gives more weight than usual to Powell’s choice of descriptors. Today’s Fed board of governors has a very different makeup than it did 10 or even five years ago. While previous boards coalesced around a dovish consensus, today’s voting and non-voting members represent a wider array of economic viewpoints.
Australia Latest News, Australia Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Fed Asks: What’s The Internet Worth To You?Since 1934, American economists have been tracking growth using Gross Domestic Product. What if everything we think we know about economic growth is wrong?
Read more »
Asian shares edge up to three-month high, dollar marks time before FedAsian shares rose on Monday to a three-month high as risk assets got a fillip fr...
Read more »
Dollar supported before Fed meeting, Brexit delay in focusThe dollar traded near the highest in more than two months versus the yen on Mon...
Read more »
Asian shares rise to three-month highs, dollar waits for FedAsian shares extended gains on Monday to hit a three-month high as risk assets g...
Read more »
Inside 'Club Fed,' Where Felicity Huffman Served Her 14-Day Prison SentenceActress Felicity Huffman plead guilty to her involvement in the college admissions scandal. But her two week stint in prison was more like summer camp.
Read more »
Wall Street's top economist Ed Hyman says a third Fed rate cut is the market's 'secret sauce'To Evercore ISI Chairman Ed Hyman, the so-called Fed put is alive.
Read more »