Fed hikes rates, leaves the option of a tightening cycle halt

With what could be the last in a record run of interest rate hikes and a heightened focus on credit and other economic vulnerabilities, the Federal Reserve entered a new phase in its management of the post-pandemic economic recovery on Wednesday. As expected by the financial markets, the Federal ...

Consumers are more upbeat about the here and now, but they expect inflation to rise in the near future.

The Federal Reserve's efforts to stem the rise in prices were given a complication boost on Friday by a crucial report from the University of Michigan that found consumer sentiment had improved in February but inflation expectations had increased.

Preliminary data for February show ...

After Powell's remarks, European stocks hit a nine-month high, as the dollar wobbles.

On Wednesday, global stocks soared and most currencies rallied against the dollar as investors perceived a dovish tone in comments from Federal Reserve Chair Jerome Powell, albeit an ECB policy change meant European bonds sat out the rally. MSCI's world stock index increased 0.3%, returning t...

FEWER THAN 2 LAKH BUSINESSES FAILED DURING FIRST YEAR OF COVID-19: FED RESEARCH

Highlights

• The authors wrote in the study, unlike what was predicted, our results may represent an optimistic update to views about pandemic-related business failure

• The chair of Federal Reserve Jerome Powell has said that the US economy is all set to witness a b...

US ECONOMY POISED FOR STRONG GROWTH SAYS FEDERAL RESERVE CHAIR JEROME POWELL

Highlights

• Speaking to CBS' 60 Minutes, chair Jerome Powell said that he is not expecting to raise the Fed’s benchmark interest rate, which at present is pegged at around zero

• The Fed is keenly studying the development of a digital dollar, but has not y...

FED CHAIR JEROME POWELL PLEDGES TO GET U.S. BACK TO A GREAT ECONOMY

Highlights

• Powell told a virtual panel that his commute home takes him past substantial tent city, and thinks that there millions of Americans who are still trying to get back to work

• The impact of Powell’s speech was clearly visible on the stock market as ...

US BANKS LOOK HEALTHY TO BE ALLOWED TO PAY DIVIDENDS & REPURCHASE STOCK: JANET YELLEN

Highlights

• This comment from Yellen came during a second day of testimony in the US Congress, where she was accompanied by Federal Reserve Chair Jerome Powell

• Yellen said while she previously was against allowing banks to stock buybacks, but now financial institu...

IMPROVED U.S. ECONOMY IS GOING TO SUPPORT GLOBAL ACTIVITY AS WELL: FED CHAIR JEROME POWELL

Highlights

• Fed Chair Jerome Powell expects a greater likelihood the strong US rebound from the COVID-19 will also help jump-start nations that are still struggling to achieve normalcy

• Fed Chief’s comments came as he was asked about sharply contrasting outlo...

FEDERAL RESERVE SAYS US UNEMPLOYMENT RATE TO FALL TO 4.5% IN 2021

Highlights

• As per Fed officials, the gross domestic product is likely to grow 6.5 percent and the inflation is expected to hit 2.4 in 2021 as compared with previous estimation made by the central bank of 1.8 percent

• Powell said “The faster, the better. The ...

INDUSTRIES LIKE LEISURE AND HOSPITALITY INCURRING LOSSES DUE TO COVID-19: JEROME POWELL

Highlights

• According to an survey conducted by economists on Friday, the unemployment rate is expected to go up by 6.4 percent, with a tally of nearly 180,000 new jobs

• In the eyes of policy makers which include Federal Reserve Chair Jerome Powell and Treasury Sec...

PRESIDENT-ELECT JOE BIDEN LIKELY TO NAME JANET YELLEN AS U.S. TREASURY SECRETARY

Highlights

• Financial experts are predicting that this move will shift Treasury's focus heavily toward progressive efforts to tackle growing economic inequality and battling against climate change

• Yellen, who made history in 2014 after she became the first wom...

RISING COVID-19 CASES LIKELY TO SLOW DOWN THE U.S. ECONOMY SAYS FEDERAL RESERVE CHAIR POWELL

Highlights

• Speaking in an online discussion with the Bay Area Council, Powell said “We’re seeing states begin to impose some activity restrictions.”

• This statement from Powell comes at a time when the retail sales in the U.S. surged only 0.3 per...

U.S. ECONOMY RECOVERING BUT RISING COVID-19 CASES STILL A THREAT SAYS FED CHAIR POWELL

Highlights

• Powell said “We do see the economy continuing on a solid path of recovery, but the main risk we see to that is clearly the further spread of the disease here in the United States.”

• Powell made these comments at a virtual conference hosted b...

IT IS IMPORTANT FOR U.S. TO GET DIGITAL CURRENCY RIGHT THAN BE FIRST: FED CHAIR POWELL

Highlights

• According to a recently given statement by the U.S. Federal Reserve Chair Jerome Powell on development of a cross-border digital currency, it is more important for the United States to get it right than be first

• Powell said in addition to assessing the...

U.S. ECONOMY NEEDS A STRONG STIMULUS SAYS JEROME POWELL

Highlights

• Powell urged the U.S. Senate to pass a robust stimulus and said that coming up with inadequate support would weaken the recovery from the coronavirus recession while overdoing would only strengthen the rebound

• Speaking at a virtual annual meeting organ...

US ECONOMY IS IMPROVING, BUT WILL TAKE TIME TO RECOVER COMPLETELY: FEDERAL RESERVE'S JEROME POWELL

Highlights

• The US economy is improving but has a long way to go before a full recovery from the COVID-19 pandemic stated Federal Reserve Chair Jerome Powell

• Powell said both employment and overall economic activity, however, remain well below their pre-pandemic l...

FED TO ANNOUNCE THE NEW POLICY INITIATIVES SOON

Highlights

• The culmination of the process could be announced around the Federal Open Market Committee’s meeting
• It includes public meetings and extensive discussions among central bank officials

The Federal Reserve will be soli...

FED RESERVE CHAIRMAN: THE US ECONOMIC RECOVERY FROM COVID – 19 COULD STRETCH THROUGH NEXT YEAR END

Highlights

• The COVID – 19 pandemic has brought the US economy into a recession 
• Fed Chief states that it will rebound but the recovery could stretch through the end of next year. 

Due...

Need to end the trade war between the US and China

Last Friday U.S. President Donald Trump outlined the first phase of a deal to end the trade war. He suspended a threatened tariff hike, but both side officials expressed views that before a settlement could be agreed much more work needed to be done.

Even though household spending remai...