funds rate: Fed Chairman Jerome Powell called the July rate cut a mid-cycle adjustment, and it has bought the Fed precious little as markets sold off in the wake off more trade tensions and yields continued to plummet, according to Market Watch. And now the markets are demanding more a lot more. Everyone from the president on down is demanding interest-rate cuts, lots of them. A 50-basis-point cut to the federal funds rate appears to be the bare minimum investors are demanding for September. And what markets are currently pricing in is anything but a mid-cycle adjustment Bloomberg Caption outside of wrapper for normal article images That is nearly a 100-basis-point rate cut over the next year. Call it pricing it in, and the implication is clear The Fed can ill afford to disappoint.
(news.financializer.com). As
reported in the news.
Tagged under funds rate, mid-cycle adjustment topics.