Stephen Miran, a Federal Reserve governor whose term ends at the end of January, said Thursday that he is looking for 150 basis points of interest-rate cuts this year to boost the U.S. labor market. Miran told Bloomberg Television's Surveillance program that Fed officials had room to further reduce rates given his view that underlying inflation was likely running at 2.3%. "I'm looking for about a point and a half of cuts. A lot of that is driven by my view of inflation," Miran said. "Underlying inflation is running within noise of our target, and that's a good indication of where overall...
The minutes of the United States Federal Reserve's (Fed) monetary policy meeting on September 16-17 will be released on Wednesday at 6:00 PM GMT. The US central bank decided to cut its benchmark interest rate by 25 basis points (bps) to a range of 4%-4.25% at this meeting, but Fed Governor Stephen Miran preferred to cut the benchmark rate by 50 bps. Jerome Powell and co. decided to cut the benchmark interest rate in September The Federal Open Market Committee (FOMC) decided to cut the interest rate by 25 bps in September, in line with widely anticipated. In the policy statement, the Fed...
Systematic hedge funds have lost money every day since October began, according to a Goldman Sachs client note. These speculators, whose algorithms ride market trends until they peter out and who use market signals rather than views on the economic aspects of the company stocks they trade, have printed negative returns each day since the start of October, the note released late on Monday showed. As of Monday, systematic or quantitative hedge funds were down around 1.8% for the month so far in one of the worst four-day trading returns in almost two years, said Goldman. Losses stemmed from...
Federal Reserve (Fed) Bank of Dallas President Lorie Logan struck a nervous tone on Friday, warning that despite a rapidly-weakening labor market, a lot of potential policy moves could accidentally spark another round of renewed inflationary pressures. Tariffs have been contributing to inflation.I'm worried about non-housing services inflation that's been elevated and stuck there. There are both upside and downside risks to my inflation outlook.If labor market were to slow more than anticipate, could see more disinflation than currently expect. The risks that tariff effects are more...
The so-called "neutral" stance for U.S. interest rates is likely to be closer to where the Federal Reserve has currently set borrowing costs, rather than where the central bank expects it to be in the coming years, according to analysts at Yardeni Research. In a note, the strategists argued that the neutral level -- a theoretical mark which neither helps nor hinders economic activity -- is hovering around 4%, roughly in line with where the Fed has placed rates. Fed officials, on the other hand, have estimated that neutral rate is 3% and have laid out projections to dip down to this level...
Bank of England (BoE) Monetary Policy Committee (MPC) member and Deputy Governor for Financial Stability, Sarah Breeden, stated on Tuesday that she believes the recent "bump" in inflation won't lead to further, long-term inflationary pressures. However, Breeden warned that consumer-level inflation expectations have risen dramatically, and is a cause for concern.The recent "hump" in inflation is unlikely to lead to additional inflationary pressure. Underlying disinflationary process looks to be on track but policymakers face a balancing act. Significant rise in household inflation...
Bank of Japan (BOJ) Governor Kazuo Ueda stated that achieving 2% inflation is getting closer, although real inflation remains low. Ueda emphasized that the BOJ will continue to raise interest rates...
The Reserve Bank of Australia (RBA) maintained its cash rate at 4.1% during its April meeting, holding borrowing costs unchanged after slashing 25 bps in the February meeting, aligning with market...