Wed 25 Oct 2006
Fed expected to remain on hold today
Posted by Steve under Money
While this blog as has more of a personal finance/business slant, I’m about to “go Econ on your asses” for a minute. Forgive me.
Still reading? Good.
The Fed is largely expected to leave interest rates unchanged today. As is common with the FOMC announcement, what will be most interesting is the statement, which should help us get a sense if the Fed is more inclined to raise rates in the coming months. Here’s the last FOMC announcement from 9/20/2006 for the record.
More recently the Fed has hinted that inflation pressures have moderated, but perhaps not as much they’d like. Will they take a more Hawkish tone, suggesting more rate increases are coming? If they do raise rates further in the coming months, will the economy be able to handle it without slipping into a recession? It will be interesting to see as I think the economy is very sensitive right now.
