Fed expected to cut interest rates despite rising inflation. Here's why
The reason is clear, experts told ABC News: Interest rates will remain historically high even after a small cut. The Fed likely does not view a mild uptick of inflation this fall as enough to deviate from a path of rate cuts it laid out earlier this year, they added.
US data has Fed striding toward rate cut next week, and tip-toeing into 2025
Investors view it as a near given that the U.S. Federal Reserve will cut interest rates by a quarter of a percentage point at its Dec. 17-18 meeting, with more attention focused on policymakers' new economic projections released alongside the decision.
Fed's expected landing point on interest rates is now a lot higher
A return to extremely low borrowing rates has been looking more and more unlikely in recent months. That's because expectations for the Federal Reserve's eventual landing point for its short-term policy rate have been going higher,
Chances of Fed rate cut rise despite higher November inflation report
The market sees the probability of another 25 basis point interest rate cut at next week's Federal Reserve meeting as rising despite inflation ticking higher in November.
Inflation increased in November, complicating Fed's next rate decision
The inflation gauge makes up the last piece of significant economic data before the Fed announces its next interest rate decision on Dec. 18. A finding of accelerated price hikes may give the Fed pause as it weighs interest rate cuts.
Donald Trump's plans will test Fed interest rate cut bets in 2025
The stock market appears to agree: After his comeback win, the S&P 500 topped the 6,000-point mark for the first time and the benchmark has risen around 6.3% since Election Day, adding more than $1.5 trillion to the collective value of the country's biggest companies.
Fed Leans Toward A December Interest Rate Cut
The Federal Open Market Committee is most likely to cut interest rates again on December 18 to 4.25% to 4.5%, according to fixed income markets.
Fed’s interest rate decision in focus
On a monetary level, we highlight ECB’s interest rate decision to cut rates by 25 basis points and signal its readiness for more easing to come. The decision tended to be more or less expected, given that economic activity in the Euro Zone is faltering.
Muted wholesale inflation rate likely gives final go-ahead for Fed to cut interest rates
A key measure of U.S. wholesale inflation posted a small increase in November and probably added the final nail in the coffin in favor of a widely expected reduction in interest rates next week.
Inflation remains sticky, with CPI rising 2.7% from a year ago
Inflation rose 2.7% on an annual basis in November, according to the latest government report on the Consumer Price Index, or CPI. Last month's CPI was forecast to come in at 2.7%, according to economists surveyed by financial data firm FactSet.
What’s the Fed’s ‘Neutral’ Interest Rate? Why Does It Matter?
Central banks seek to manage economies by setting interest rates at levels that encourage or discourage activities such as ...
Worries of a Fed policy mistake are growing amid a hot economy and sticky inflation
The fear among some commentators is that the Fed is cutting rates in a hot economy with inflation above target, raising the ...
The Fed slashed interest rates, but some credit card APRs aren’t going down. Here’s why.
But when the Fed started slashing interest rates in September, with an initial cut of half a percentage point, the average ...
Fed rate view in focus as robust stocks year draws to close
A banner year for U.S. stocks gets one of its last big tests with the coming week’s Federal Reserve meeting, as investors ...
With Fed rate cut looming, bitcoin holds above six-figure mark
The Federal Reserve is widely expected to cut interest rates next week, helping bitcoin prices stay above $100,000. Lowered ...
CNET2d
Mortgage Predictions: How Will the Fed Respond to Today's Inflation Data?
Lately, progress has stalled on getting inflation down to the Fed's 2% annual target. Meanwhile, the labor market isn't ...