Connect with us
menu

Popular World News

Fed’s Harker Downplays Further Rate Cut, Argues for Holding

© Reuters.  The Only Way Is Down for Central Bankers Already at Peak Rates

ECONOMIC NEWS

Fed’s Harker Downplays Further Rate Cut, Argues for Holding

[ad_1]

© Reuters.

Investing.com – , president of the Federal Reserve Bank of Philadelphia, joined the hawkish camp on Thursday, saying he saw no need for additional stimulus.

Although Harker admitted that he did “somewhat reluctantly” support the 25 basis point cut back in July, he said that the Fed is “pretty much where we need to be” in an interview with CNBC.

““We’re roughly where neutral is,” Harker said. “I think we should stay here for a while and see how things play out.”

Harker argued that the Fed should do what is appropriate for the U.S. and that the recent yield curve inversion, which some economists take for a signal of imminent recession, is merely one signal among many.

“The labor markets are strong, inflation is moving up slowly – but with the last CPI print, it was a good print,” he said.

He did admit that trade uncertainty was a headwind for the American economy and noted that he would be more concerned if trade tariffs kicked hit and hit the American consumer.

Harker is not a voting member this year but does participate in the policy meetings.

His remarks come after the minutes from the July decision, released on Wednesday, revealed a wide division among policymakers. Esther George and Eric Rosengren both dissented from the July decision to cut rates for the first time in a decade, preferring to make no changes, while the minutes showed that “a couple” of the policymakers argued for a larger 50 basis point cut.

This is a breaking news report; please refresh the page for updates.

Disclaimer: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn`t bear any responsibility for any trading losses you might incur as a result of using this data.

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.



[ad_2]

Source link

Continue Reading
You may also like...
Click to comment

Leave a Reply

Your email address will not be published. Required fields are marked *

More in ECONOMIC NEWS

To Top
error: Content is protected !!
Top