: On Wedenesday, the Fed said in a statement that global economic headwinds remained on its radar, but it removed a specific reference to the risks they posed. "The committee continues to closely monitor inflation indicators and global economic and financial developments," it said, according to Deutsche Welle. After the last policy meeting in March, Fed Chair Janet Yellen told a news conference that "caution is appropriate" when it comes to raising rates. In December, the Fed lifted the benchmark interest rate for the first time in a decade from near zero, but signaled more caution in raising interest rates over concerns that a slowing Chinese economy could depress global growth, sparking stock price declines and tighter financial market conditions. Since then, markets have turned up, with the United States' S&P 500 shares index up by more than 14 percent. The global situation has already caused the Fed rate setters to dial back their estimates on the number of rate rises this year. China economy has also shown more positive signs, growing at an annualized 6.7 percent pace in the first quarter.
(news.financializer.com). As
reported in the news.
Tagged under , topics.