Friday, August 26, 2016

US economy: the head of the Federal Reserve anticipates imminent rise in interest rates – Telam

“In light of sustained strong performance of the labor market, and our outlook for economic activity and inflation, I think the possibility of an increase in interest rates has strengthened in recent months,” Yellen said Friday while participating in the Jackson Hole conference where concerning major central banks around the world meet.

However, Yellen warned that the decision by the Federal Reserve on its benchmark rate depends on the continuity of the positive data in the US economy.

the Fed left interest rates unchanged reference during its last meeting in June. If an increase is announced, it would be just after the next meeting of the committee to establish rates, whose meeting is scheduled for Sept. 21.

The Federal Reserve raised its benchmark interest rate 0.25 percent in December for the first time since the financial crisis of 2008.

at that time, the central bank said the rate would remain low for a long time.

earlier today is He learned that the US economy grew at an annual rate of 1.1 percent in the second quarter of 2016, lower than initially estimated figure.

the GDP estimate is based on a base more comprehensive than that available at the time of the initial estimate released last month, showing a growth of 1.2 percent between April and June this year data.

this second estimate for second quarter, the overall picture of economic growth in the US remains the same, said the Bureau of economic Analysis.

Meanwhile Wall Street closed today with ups and downs and its main indicator, the Dow Jones Industrial Average was down 0 29% after Yellen, say they have strengthened the case for a rise in interest rates.

at the close of trading, the index fell 53.01 points and ended at 18,395, 40, while the selective S &. P 500 fell 0.16% or 3.43 units to 2169.04

After opening higher, the Nymex changed course with the speech offered by Yellen at the annual conference of Jackson Hole (Wyoming).

Your message offered no big surprises, but in a week without clear direction pushed operators to sales.

That downtrend was confirmed after remarks by Fed Vice Chairman Stanley Fischer, who considered it possible that there are two price increases money in the remainder of the year.

According to analysts, the market clearly expected up, although most investors believe not arrive in September, but somewhat later.

Contrary aloque happened on Wall Street all European markets ended higher and likewise the market behaved crude oil.

Texas intermediate oil (WTI) rose 0.65% today and closed at $ 47.64 a barrel after the words of the president of the Federal Reserve, while a barrel Brent for October delivery closed at the London futures market at $ 49.92, 0.50% more than at the end of the previous session.

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