The United States Federal Reserve (FED), pressed by a inflation Persistently high and encouraged by lower-than-expected unemployment, an agenda of higher interest rates for next year is being drawn up this Wednesday, while its authorities announce when and how much the cost of borrowing will have to increase to keep the economy in check. Balance.

The Fed Chairman, Jerome Powell, has already pointed out that the committee that sets interest rates will likely announce at its strategy meeting this week that it will accelerate the end of its bond buying program, ending it in March instead of June, in order to clear the way. for the Fed to raise interest rates from near zero, where they have remained since March 2020, when the coronavirus pandemic triggered a brief but deep recession.

This will lead the authorities in charge of the monetary politics to advance its forecasts of interest rate hikes on its dotted graph, as part of the forecasts published quarterly on economic growth, employment and inflation, as well as the calendar of interest rate hikes.

The Fed has to be a little more aggressive than it has been with the removal of expansionary policy, “said Tim Duy, chief US economist at SGH Macro Advisors.

Most analysts expect the Fed to maintain its forecast of three rate hikes in 2023 and 2024, as its leaders still expect a rapid decline in price pressures in the second half of next year, as the pandemic be surpassed.

When the Fed actually starts the rate hike process is less certain. Economists polled by Reuters expect the Fed to raise interest rates in the third quarter of next year, but like other analysts, they also point out that the risk is that the hike will come sooner.

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(With information from Reuters)

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