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The Fed rose its interest rate from 0.75% to 1% on March the 15th meeting.
Fed’s Chair Yellen played down expectations that the central bank would endorsed a tighter frame for rate hikes this year.
Ms. Yellen stated that:
The Fed is not sharing the same kind of optimism widespread among stock market investors and consumption and business surveys.
Ms Yellen revived that inflation will now move higher than 2%, just as it has been under the 2% during the past years. Yellen focused that the 2% is a target, not a ceiling.
Fed’s officials acknowledged that the economy is growing at sustainable pace with GDP growth at 1.6% in 2016. For the next three years, GDP growth is expected at 2.0%.
Fed’s Chair Yellen played down expectations that the central bank would endorsed a tighter frame for rate hikes this year.
Ms. Yellen stated that:
We haven’t changed the outlook. We think we’re moving on the same course we’ve been on.
The Fed is not sharing the same kind of optimism widespread among stock market investors and consumption and business surveys.
Ms Yellen revived that inflation will now move higher than 2%, just as it has been under the 2% during the past years. Yellen focused that the 2% is a target, not a ceiling.
Fed’s officials acknowledged that the economy is growing at sustainable pace with GDP growth at 1.6% in 2016. For the next three years, GDP growth is expected at 2.0%.
