Posted on 03/19/2025 11:36:03 AM PDT by ChicagoConservative27
The Federal Reserve held interbank lending rates steady on Wednesday at a range of 4.25 to 4.5 percent despite some signs that the economy may be heading for a slowdown.
The decision to keep rates where they are was in line with market expectations. The CME FedWatch prediction algorithm based on futures contract prices registered Wednesday a 99 percent probability that the Fed would hold rates steady.
The Fed has paused rate cuts for the second straight meeting since January. The central bank cut rates three times during the end of 2024 in response to weakening employment data and easing prices.
Since then, inflation has ticked back up toward a 3-percent annual increase, putting monetary policymakers in a squeeze between the rock of rising price increases and the hard place of potentially slowing growth.
Concerns about U.S. economic growth have become more pronounced in recent weeks amid dampened consumer and business sentiment, a pullback in consumer spending and a rash of new tariffs and quick retreats by the Trump administration.
(Excerpt) Read more at thehill.com ...
Interesting that they see inflation. Where and how, exactly, I wonder?
Now that's weaving a thread.
Controlling inflation with the Fed is like pushing a rope uphill.
They should not be lowering rates simply for a shot of crack to the economy. The long term effects are disastrous. In fact we will be suffering for ever from the the previous crack shots. They have even destroyed the simple act of saving money. If you set a goal to make a purchase(Such as a house) and then start saving for it then by the time you get there the price may have doubled. And forget about making any interest on your savings short of playing market Roulette.
Were these rates approved by Roberts’ fag Feral district “judges” and fart checked by the DNC?
4% for a savings account is good. Encourages people to save.
6 ~ 7% for a mortgage loan is a fair rate. There should be a fee to borrow money. Last time home mortgage rates were near zero look what happened.
20% and more is fine for credit cards. Credit cards are not for loans, but for convenience and to be paid off monthly.
I remember in business classes when zero inflation was the target. My, how times change.
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