The news is filled with amazement at how well Bidenomics is grinding forward. No on has ever seen anything like it.
Strong consumer confidence, strong spending, and a still robust growing economy all with low unemployment. Truly a Goldilocks era of the economy. The downside is the Fed is pussyfooting around with rate cuts. Biden needs to get vocal and push hard to get rates cut or find a new Fed Chairman. They were too late raising rates and now they are going to be too late cutting them.
Now, some economists think the Fed won’t cut interest rates at all this year.
The economy is not slowing down and some underlying measures of inflation are growing, said Torsten Slok, chief economist at Apollo Global Management, in a note to investors Friday.
“The Fed will not cut rates this year and rates are going to stay higher for longer,” he added.
Richmond Federal Reserve President Tom Barkin echoed the idea that the central bank may not cut interest rates this year.
Strong consumer confidence, strong spending, and a still robust growing economy all with low unemployment. Truly a Goldilocks era of the economy. The downside is the Fed is pussyfooting around with rate cuts. Biden needs to get vocal and push hard to get rates cut or find a new Fed Chairman. They were too late raising rates and now they are going to be too late cutting them.
Now, some economists think the Fed won’t cut interest rates at all this year.
The economy is not slowing down and some underlying measures of inflation are growing, said Torsten Slok, chief economist at Apollo Global Management, in a note to investors Friday.
“The Fed will not cut rates this year and rates are going to stay higher for longer,” he added.
Richmond Federal Reserve President Tom Barkin echoed the idea that the central bank may not cut interest rates this year.
Fed rate cuts? A strong US economy makes for a fraught decision
Solid GDP and employment data mean officials can afford to wait until they are sure inflation is under control
www.ft.com
Strong Q3 growth may push likely rate cuts to October
The stronger than expected real GDP growth in the third quarter may prompt RBI to continue the status quo on policy rate. Economists believe the easing cycle may not begin before October. Rate cuts are unlikely, but RBI's communication on liquidity is important.
m.economictimes.com