Market updates and forecasts

Get the latest economic news from ForexMart, including updates on the financial market, central banks' policy announcements, financial indicators, and other relevant news which can have an impact on the industry.

Disclaimer:  Information provided here to retail and professional clients does not contain and should not be construed as containing investment advice or an investment recommendation or an offer or solicitation to engage in any transaction or strategy in financial instruments. Past performance is not a guarantee or prediction of future performance.

Expect Fed Rate Hikes to Continue This Year, Says Kaplan


February, 08 2018
watermark Economic news

The U.S. Federal Reserve will gradually adjust their current accommodative monetary policy and push through the planned three rate hikes in 2018, according to the Dallas Fed President Robert S. Kaplan in a business conference in Frankfurt on Thursday.

He said that volatility in the market is not sufficient to shift the situation. Notwithstanding, there are still cautious on the disturbance and they will examine its actual effect on the economy.

At present, there is no market adjustment that has largely affected the financial market but he will still be keen on it, he commented to the reporters. Moreover, he clearly said that his position did not change in this regard.

Last year, the Federal Reserve raised their interest rate from the previous revision of 0.25 points in December.

There was a selloff in the stock market, which raises concern about inflation that would prompt the Federal Reserve to be tighter with their policies at a faster rate. This has caused panic and the market but the statements of Kaplan has somehow toned down the market, saying that stimulus would be executed gradually and patiently without any particular rates at the moment.

Considering the rapid growth and low unemployment rate as a major catalyst for policy tightening.  Kaplan forecasted that jobless rates could decline below 4 percent in 2018, which has exceeded the estimated value for full employment.

As a whole, he said that growth will probably gain momentum this year and get slower the year in the next two years.

Lastly, he commented that “2018 will be a strong year in the United States”. They have almost reached the full employment figure in the U.S. The headline unemployment is anticipated to drop lower than 4 percent this year.


Feedback

ForexMart is authorized and regulated in various jurisdictions.

(Reg No.23071, IBC 2015) with a registered office at Shamrock Lodge, Murray Road, Kingstown, Saint Vincent and the Grenadines

Restricted Regions: the United States of America, North Korea, Sudan, Syria and some other regions.


© 2015-2024 Tradomart SV Ltd.
Top Top
Risk Warning:
Foreign exchange trading carries a high risk of losing money due to leverage and may not be suitable for all investors. Before deciding to invest your money, you should carefully consider all the features associated with Forex, as well as your investment objectives, level of experience, and risk tolerance.
Foreign exchange trading carries a high risk of losing money due to leverage and may not be suitable for all investors. Before deciding to invest your money, you should carefully consider all the features associated with Forex, as well as your investment objectives, level of experience, and risk tolerance.