Friday, 21 February 2020
Jakarta
--:--
Tokyo
--:--
Hongkong
--:--
New York
--:--
Fed Cuts Rates by Quarter Point While Hinting at a Pause
Thursday, 31 October 2019 01:29 WIB | FISCAL & MONETARY |Ekonomi ASThe FedFOMCFederal Reserve

Federal Reserve officials reduced interest rates by a quarter-percentage point for the third time this year and hinted they may now put monetary policy on hold, for one meeting at least.

The Federal Open Market Committee altered language in its statement following the two-day meeting Wednesday, dropping its pledge to œact as appropriate to sustain the expansion, while adding a promise to monitor data as it œassesses the appropriate path of the target range for the federal funds rate.

As with the September statement, the FOMC cited the implications of global developments in deciding to lower the target range for the central bank™s benchmark rate to 1.5% to 1.75%.

Treasuries weakened on the Fed™s announcement, pushing the 10-year yield up briefly to 1.81% from 1.80%. Stocks were little changed and the U.S. dollar gained. Traders also pared wagers on a fourth consecutive rate cut in December.

The tweaks to the statement suggest policy makers are prepared to leave rates on hold for some time and assess the impact on the economy of their reductions over the past three meetings. Chairman Jerome Powell will hold a news conference at 2:30 p.m. with reporters likely to press him to explain the changes.

Powell has said that he didn™t expect an extended series of rate reductions, while describing easing as an effort to provide insurance for an aging economic expansion imperiled by trade tensions and faltering global growth. He hasn™t said, however, how much insurance is enough.

Source : Bloomberg

RELATED NEWS
Fed officials more upbeat about the economic outlook this year, minutes show...
Thursday, 20 February 2020 02:35 WIB

Federal Reserve officials and the central bank™s staff said the U.S. economy seemed stronger in late January than they had expected, according to minutes of their late-January meeting released Wedne...

RBA Reviewed Case for Further Rate Cut, Worried About Borrowing...
Tuesday, 18 February 2020 08:02 WIB

Australia™s central bank reviewed the case for a further interest-rate cut, but decided against it in order to avoid encouraging additional borrowing as house prices climb, minutes of its Feb. 4 mee...

Fed Chair Powell: Ready to use QE, guidance œaggressively in a downturn, USD stable...
Wednesday, 12 February 2020 22:41 WIB

Jerome Powell, Chairman of the Federal Reserve, has said that the bank is ready to use Quantitative Easing (QE) and also forward guidance "aggressively" in a downturn. Powell is testifying before the ...

Carney Speech: Low Interest Rate Environment Adds to Government's Fiscal Capacity...
Tuesday, 11 February 2020 23:02 WIB

The low interest rate environment adds to the government's fiscal policy, Bank of England (BoE) Governor Mark Carney said on Tuesday in his speech before the Economic Affairs Committee. "Low interest ...

Lagarde speech: Inflation Remains Some Distance Below Our Medium-Term Aim...
Tuesday, 11 February 2020 21:25 WIB

The growth momentum of the euro area has been slowing down since 2018 dur to global uncertainties and weaker international trade, European Central Bank (ECB) President Christine Lagarde said in her pr...

LATEST NEWS
Korsel Laporkan Kematian Pertama Terkait Virus Korona

Korea Selatan mengukuhkan kematian pertama akibat virus korona di wilayahnya, lapor media setempat, Kamis (20/2), sementara jumlah mereka yang tertular virus tersebut di negara itu meningkat tiga kali lipat dalam dua hari. Pusat Pengawasan dan...

Gold Steady Near 7-Year Peak as Persistent Virus Fears Dampen China Stimulus

Gold prices held steady at a near seven-year high on Friday as nervous investors opted for safe haven assets amid fears about the economic damage from China™s coronavirus epidemic that eclipsed Beijing™s stimulus efforts. Spot gold was little...

Oil Prices Slide as Coronavirus Spread Beyond China Raises Demand Worries

Oil prices fell on Friday with fears for fuel demand growing as the coronavirus epidemic that originated in China spread further beyond the country, while major crude producers stood pat on taking early action to cut output to support the...

POPULAR NEWS
Emas berjangka catat kenaikan beruntun sesi kelima
Thursday, 20 February 2020 01:49 WIB

Emas berjangka naik pada hari Rabu untuk sesi kelima berturut-turut, menandai penyelesaian lain pada level tertinggi sejak Maret 2013, dengan...

Gold futures marks highest settlement since March 2013
Wednesday, 19 February 2020 01:51 WIB

Gold futures rallied on Tuesday to log their highest finish since late March 2013, with analysts attributing the rise to expectations for central...

Gold futures mark highest settlement in 7 years
Friday, 21 February 2020 01:51 WIB

Gold futures climbed on Thursday for a sixth consecutive session to log their highest settlement since February 2013. "Coronavirus fears magnetized...

Gold Scales Two-Week High as Coronavirus Hits Business
Tuesday, 18 February 2020 20:35 WIB

Gold climbed to a two-week high on Tuesday as investors sought safe havens after a revenue warning from iPhone maker Apple due to coronavirus,...