Federal Reserve expected to boost key interest rate

Federal Reserve expected to boost key interest rate

The median estimate implied three increases in 2019 to put the rate above the level where officials see policy neither stimulating nor restraining the economy.

Information received since the Federal Open Market Committee met in May indicates that the labor market has continued to strengthen and that economic activity has been rising at a solid rate.

Fed drops reference from previous statements that it expected rates to be below neutral rate for "some time".

The decision was driven by "indications that inflation is right around the corner", said Jason Reed, an economist and finance professor at the University of Notre Dame's business school. Previously, the statement made separate references to survey-based and market-based measures of such expectations. The step was needed, the Fed said, to be sure rates stay within the intended boundaries. And since the Fed started its post-recession rate increases in late-2015, they've coincided with hikes so that the chair has an opportunity to explain the decision.

Italy to Ferry Migrants It Rejected to Spain
Under global law, people rescued at sea should be brought to the nearest and safest port for assistance. The passengers had been rescued in six different operations , according to SOS Mediterranée.

In determining the timing and size of future adjustments to the target range for the federal funds rate, the Committee will assess realized and expected economic conditions relative to its maximum employment objective and its symmetric 2 percent inflation objective.

The unemployment rate is 3.8%, the lowest since 2000 and tied for the lowest reading since 1969. It's the second rate hike under Powell, a Republican appointed to lead the Fed by President TrumpDonald John TrumpWhat you need to know about Tuesday's elections Danny Tarkanian wins Nevada GOP congressional primary Laxalt, Sisolak to face off in Nevada governor's race MORE. For 2020, the Fed foresees a median rate of 3.4 percent.

Fed says raises interest on excess reserves rate to 1.95 pct from 1.75 pct.

The Fed's meeting this week is to be followed by policy meetings of two other major central banks - the European Central Bank on Thursday and the Bank of Japan on Friday.

Related news:

Hot News

isis-killer-beheading-video-story-top What in the world killed some of Africa's oldest trees?
Jun 13, 2018 - 22:13
The baobab "is famous because it is the biggest angiosperm , and it is the most iconic tree of Africa", Patrut said. Whatever the reason is, the death of these trees will have a huge impact in the southern African landscape.

Cyberpunk 2077 has dismemberment, and you can blow your enemies' legs off
Jun 13, 2018 - 22:13
While the viewpoint is in the first person for shooting and moving around, driving can be done in first or third person. For starters, we now know that the game will be nearly entirely a first-person perspective (FPP) RPG.

isis-killer-beheading-video-story-top As Net Neutrality Ends, Activists Push Congress to Restore Obama-Era Rules
Jun 13, 2018 - 21:45
KFDX received statements from Congressmen Mac Thornberry and Jodey Arrington regarding net neutrality, provided below. And critics fear repealing them may see consumers charged extra for anything more than the most basic service.

isis-killer-beheading-video-story-top Trump continues to praise himself for North Korea summit
Jun 13, 2018 - 21:39
The spectacle was a major coup for an isolated and heavily sanctioned regime that has long craved worldwide legitimacy. North Korean women push their cart and bicycles over a bridge in Hamhung, North Korea , July 21, 2017.

isis-killer-beheading-video-story-top Cohen likely to cooperate with federal prosecutors
Jun 13, 2018 - 21:37
While Cohen has not been charged with a crime, he is the subject of an investigation by federal prosecutors of alleged wire fraud and other crimes.

isis-killer-beheading-video-story-top Newspaper: Former Panamanian president extradited home from US
Jun 13, 2018 - 20:43
They did not immediately respond to a request for comment, and their court filings were not publicly available at press time. The politician said that he is a victim of political persecution by the current President, a former political ally.

Sweet young years: toddlers are getting too much added sugars, CDC reports
Jun 13, 2018 - 20:33
However, the scientists behind the study are now planning on analyzing the products with added sugar that kids usually consume. The results revealed that 85 percent of the toddlers and infants studied were consuming added sugars in their daily diet.

isis-killer-beheading-video-story-top Thomas cements Dauphine pole as Bilbao wins penultimate stage
Jun 13, 2018 - 19:42
For his part, Bardet denied any wrongdoing, insisting they were only riding hard to win the stage. The Astana rider completed the route, which started in Frontenex, in a time of 3:34:11.

isis-killer-beheading-video-story-top Saudi-led forces begin Yemen assault
Jun 13, 2018 - 19:39
Yemen's biggest port, Hodeidah is the lifeline for the majority of Yemen's population, which lives in Houthi territory. The Houthis deny they are Iranian pawns and say their revolt aims to target corruption and defend Yemen from invaders.

isis-killer-beheading-video-story-top Singapore agreement will end Cold War, S. Korea president says
Jun 13, 2018 - 19:38
The KCNA news agency says Mr Trump made the promise after pledging to end joint military exercises with South Korea. The US secretary of state has said Washington will demand "complete, verifiable and irreversible" denuclearisation.

isis-killer-beheading-video-story-top Tick Bites 5-Year-Old Girl’s Head; She Woke Up Paralyzed
Jun 13, 2018 - 19:32
Griffin called her husband, who told her to immediately remove the tick, put it in a plastic bag, and rush Kailyn to the hospital. It's more common in children than it is adults! Unlike many other bites, tick bites don't usually hurt or itch at first.

Net neutrality rules officially repealed in US
Jun 13, 2018 - 18:41
Twenty-nine states have since introduced legislation, proposing reinstating some aspects of Net Neutrality. Barbara Underwood, New York's attorney general, noted that lawsuits opposing the repeal were still pending.

isis-killer-beheading-video-story-top Trump contradicts USA military stance on Korea war games
Jun 13, 2018 - 18:27
The DPRK holds off on any new nuclear and missile tests while the US and South Korea stop the "war games" (Trump's terminology). South Korea's Presidential Blue House said it needed "to find out the precise meaning or intentions" of Mr Trump's statement .

isis-killer-beheading-video-story-top Google Home can now handle up to three commands at once
Jun 13, 2018 - 18:07
Any combination of up to three queries can be spoked to Google Home, as long as the word "and" is used between the queries. But as promised at I/O, Home can now understand the more natural "turn on the lights in the living room and the kitchen".

isis-killer-beheading-video-story-top Steam's New Chat is a Lot Like Discord
Jun 13, 2018 - 18:01
Voice chat has also been rebuilt from the ground up, with Valve saying it now sounds a lot cleaner than it did before. The new Steam Chat offers some great features that come as standard with other services.