Thursday, 16 August 2018
Jakarta
--:--
Tokyo
--:--
Hongkong
--:--
New York
--:--
Fed Leaves Rates Unchanged, Says Inflation Close to Target
Thursday, 3 May 2018 01:13 WIB | FISCAL & MONETARY |Federal ReserveThe FedEkonomi AS

Federal Reserve officials left interest rates unchanged, acknowledging inflation is close to target without indicating any intention to veer from their gradual path of interest-rate increases.

œInflation on a 12-month basis is expected to run near the committee's symmetric 2 percent objective over the medium term, the policy-settingFederal Open Market Committee said in a statement Wednesday in Washington. œThe committee expects that economic conditions will evolve in a manner that will warrant further gradual increases in the federal funds rate.

Officials may have signaled their willingness to allow inflation to exceed their 2 percent goal somewhat by adding a reference to the œsymmetric nature of their target.

The FOMC also noted the weakness in growth in the first quarter, removing a reference in the in March statement that the economic outlook had œstrengthened in recent months. They balanced that out by noting strong growth in business investment.

U.S. economic growth cooled in the first quarter to an annualized pace of 2.3 percent after averaging higher than 3 percent in the previous three quarters.

The decision to maintain the federal funds target range at 1.5 percent to 1.75 percent was a unanimous 8-0. This FOMC meeting won't be followed by a press conference.

The Fed's commentary is unlikely to change investor expectations that policy makers will raise interest rates for the second time this year when they re-convene in June.

Officials left unchanged their view that near-term risks to the economic outlook appeared œroughly balanced. That suggests policy makers are not ready to steepen dramatically the path they've projected for slowly raising rates.

The Fed lifted its benchmark rate three times last year -- while also beginning to slowly trim its balance sheet. Officials indicated in March they expect a total of three or four hikes in 2018.

The FOMC's two-day meeting followed the release of data Monday that showed inflation measured by the central bank's preferred gauge had hit its 2 percent target after being below that goal for almost every month since April 2012.

Policy makers aim to keep inflation near target while ensuring maximum sustainable employment and preserving a U.S economic expansion that is now the second longest on record.

Year-on-year growth in the personal consumption expenditures price index reached 2 percent in March, up from 1.7 percent in February. The jump was driven more by year-ago price drops in telecoms and pharmaceuticals than by recent price gains.

Source : Bloomberg

RELATED NEWS
Carney Says Chance of a No-Deal Brexit Is `Uncomfortably High'...
Friday, 3 August 2018 14:48 WIB

Mark Carney dirinya ikut kembali ke debat Brexit, mengatakan kesempatan Inggris untuk keluar dari Uni Eropa tanpa kesepakatan adalah "sangat tinggi." Intervensi menunjukkan Gubernur Bank of England (...

Bank of England raises key lending rate to 0.75%...
Thursday, 2 August 2018 18:21 WIB

Bank of England pada Kamis ini, seperti yang diharapkan, menaikkan suku bunga bank sebesar 25 basis poin, atau seperempat persentase poin, menjadi 0,75%. Sembilan anggota Komite Kebijakan Moneter mem...

Fed holds interest rates steady, signals another hike coming soon...
Thursday, 2 August 2018 01:19 WIB

Federal Reserve mempertahankan kebijakan suku bunga stabil pada hari Rabu sementara ini  menandakan pihaknya melihat kenaikan suku bunga lainnya kemungkinan akan terjadi secepatnya pada September...

Kuroda Pushes Through Changes to Stay the Course for Longer Haul...
Tuesday, 31 July 2018 14:16 WIB

Gubernur Bank of Japan (BoJ) Haruhiko Kuroda mendorong perubahan program stimulus moneter radikalnya seiring bank sentral mempersiapkan perjuangan yang lebih lama untuk memicu inflasi. Sementara menj...

BOJ Keeps Policy Rate, Allows Flexibility in Bond Operations...
Tuesday, 31 July 2018 11:24 WIB

Bank of Japan (BoJ) mempertahankan target imbal hasil obligasi dengan tenor 10-tahun pada sekitar nol persen, sambil mengatakan akan memungkinkan lebih banyak fleksibilitas dalam operasi obligasi, set...

LATEST NEWS
Gold futures post lowest settlement in more than 1 1/2 years

Gold futures on Wednesday finished at their lowest level in about 19 months amid a widespread downdraft in the metals market as the U.S. dollar extended its recent strengthening to a 14-month peak, weighing on assets priced in the currency. Gold...

European stocks close lower as Turkey crisis weighs on sentiment

Shares in Europe closed lower on Wednesday afternoon as concerns over the Turkish currency crisis continued to impact investors' appetite. The pan-European Stoxx 600 slipped throughout the day to finish trade 1.5 percent below at 379.70 the flat...

Stock-market sell-off briefly touches panic-like levels as Dow falls

Selling on the NYSE midday Wednesday hit panic-like proportions, based on the so-called Arms Index. The Arms is a volume-weighted measure of market breadth, that tends to rise when the broader market falls, as the intensity of the selling in...

POPULAR NEWS
Gold ends below $1,200 for the first time since late January as dollar holds gains
Tuesday, 14 August 2018 01:12 WIB

Gold futures on Monday tumbled below a psychological, round-number level at $1,200 an ounce for the first time since late January, as the dollar...

Gold's Beating May Be Nearing an End - Bloomberg Intelligence
Tuesday, 14 August 2018 04:44 WIB

It has been an awful summer for gold. And just when things could not get any worse for the yellow metal, prices dipped below $1,200 an ounce in...

Gold Declines as Dollar Advances on Turkish Meltdown
Monday, 13 August 2018 09:16 WIB

Gold slips as the dollar rises on Turkey™s slide toward a financial crisis, with its president showing no signs of backing down in a standoff...

Gold logs first gain in the past 4 sessions, but holds near 1 1/2-year low
Wednesday, 15 August 2018 00:55 WIB

Gold futures on Tuesday booked a slight gain, but held near their lowest level of the past 18 months, as a currency crisis spurred by worries about...