Wednesday, September 21, 2016

The Fed opts for prudence and keeps rates of interest – Investing.com Spain

Investing.com – The Federal Reserve (Fed) of the united States has decided today in a range of between 0.25% and 0.5%. This decision was widely expected by the market, which sees it as more feasible for the entity to rush to raise interest rates the meeting that will keep the Federal Open Market Committee (FOMC) in the month of December.

In particular, according to the Barometer of Types of the Fed Investing.com investors deduct 56.5% probability that the monetary authority of a step forward and performs a rise of interest rates in the last meeting of the current year, compared to 15% chance granted to the Fed to take this decision at its meeting today.

In this way, the Federal Reserve depletes one of the last three bullets he had left in the bedroom to fulfill his purpose of facing at least one rate rise in the remainder of the year. Gone are already the initial intentions announced in December of 2015 to tackle four climbs of types in this exercise.

As stated in the statement released by the entity, in this occasion the decision has been more closely contested than in previous occasions, since up to three committee members -George, Mester, and Rosengren – voted against and spoke in favour of the deal already same a rise of the types to a fork of 0.5%-0,75%.

in Addition, this decision comes hours after learning of the last movement of the Bank of Japan. The maximum monetary authority, japan has decided to provide you a blow of rudder to the unsatisfactory results of its latest liquidity injections.

The central bank of the country of the rising sun also has aptado to maintain unchanged its already negative interest rates, but from now on it will focus its efforts in controlling the evolution of the curve of the profitability of its sovereign debt, especially its long-term obligations.

All the spotlights are focused on Yellen

So, in less than half an hour, the president of the central bank u.s., to explain the reasons that have led the Fed to leave unchanged the interest rates.

The investors, to try to find in his words any hint to help decipher the future intentions of the monetary authority.

legal Notice: Fusion Media would like to remind you that the data contained in this website is not necessarily real-time nor accurate. All CFDs (stocks, indexes, futures) and Forex prices are not provided by exchanges but rather by market makers, and so prices may not be accurate and may differ from the actual market price, meaning prices are indicative and not appropriate for trading purposes. Therefore Fusion Media doesn’t bear any responsibility for any trading losses you might incur as a result of using this data .

Fusion Media or anyone involved with Fusion Media will not accept any liability for loss or damage as a result of reliance on the information including data, quotes, charts and buy/sell signals contained within this website. Please be fully informed regarding the risks and costs associated with trading the financial markets, it is one of the riskiest investment forms possible.

LikeTweet

No comments:

Post a Comment