SINGAPORE: The United States Federal Reserve is likely to push ahead with plans to slow interest rate hikes in the fight against red-hot inflation, despite the latest data suggesting it should do otherwise, said analysts on Tuesday .
“So the question now is whether the last couple of days of stronger-than-expected economic numbers, is that going to be enough to knock the Federal Reserve off of its slight dovishness here and renew their rate hikes?” said Mr David Dietze, managing principal and senior portfolio strategist at Peapack Private Wealth Management.Last Wednesday, US Fed chairman Jerome Powell said the central bank could slow interest rate hikes as soon as this month.
Mr Dietze believes the economic momentum is “not automatically going to translate into much worse-than-expected inflation”. The Fed has been trying to tame inflation not seen since the 1980s while avoiding tipping the US into a recession.The Fed has raised the benchmark lending rate by 0.75 percentage points four consecutive times in recent months, out of six rate hikes this year, in an effort to rein in rising prices.
Finance Finance Latest News, Finance Finance Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
Source: ChannelNewsAsia - 🏆 6. / 66 Read more »