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Central banks current monetary policy - Where to next?
The US Federal Reserve currently has rates set at 1.75% after raising rates by 75bps at its last central bank interest rates decision meeting. After an 8.6% YoY CPI reading for May and higher inflation expectations, the Committee decided that a 75bps rate hike was appropriate. However, the FOMC isn’t done yet. In the press conference which followed, Fed Chairman Powell said that although he doesn’t expect a 75bps to be common, the FOMC will be deciding between 50bps and 75bps at its July meeting. The Committee is highly attentive to inflation risks and sees risks to the upside. On June 22nd, Powell testified in ... (full story)