US interest rates are heading higher and Federal Reserve policymakers could next month point to a higher than previously expected peak, Morgan Stanley’s Ellen Zentner said.
US interest rates are heading higher and Federal Reserve policymakers could next month point to a higher than previously expected peak and also a slower easing path, Morgan Stanley’s Ellen Zentner said.
Bank of America strategists argued in a note on Friday that a “no landing” for the US economy in the first half of 2023—where growth continues even as rates ratchet higher—paves the way for a “hard landing” in the second half of the year because Fed tightening always “breaks” something.
Bowman said: “”We’ll have to continue to raise the federal funds rate until we start to see a lot more progress” on reducing inflation. “Changes to the policy path tend to be tied to changes in the Summary of Economic Projections and our preliminary assessment is that the SEP is likely to support a higher peak rate, as well as an even later start to the 2024 cuts.”
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.
Centuria Industrial in $300m convertible bond; MS, BofA on ticketASX-listed CEnturia Industrial Property is seeking to raise $300 million via the sale of convertible bonds via Morgan Stanley and Bank of America.
Read more »
China’s top tech deal maker ‘goes missing’, rattling industryBao Fan, a former banker at Morgan Stanley and Credit Suisse, has disappeared, fuelling speculation of a renewed crackdown on China’s finance industry.
Read more »
Australia’s unemployment rate climbs to 3.7% in January, higher than economists expectedSuccession of interest rate rises by the RBA trims jobs growth as unemployment jumps to its highest level since May 2022
Read more »
US retail sales surge supports higher Fed rate pathStrong US retail sales data reinforced expectations Jerome Powell will keep raising interest rates in 2023.
Read more »
Live: ASX tipped to open higher, Reserve Bank governor faces second grillingThe ASX200 is tipped to open slightly higher this morning, and RBA governor Philip Lowe prepares to front a second hearing in Canberra
Read more »
Higher chicken prices on the way as costs soarThe country’s largest poultry producers says it needs to raise prices again to cover costs.
Read more »