Federal Reserve keeps waiting for more data before cutting interest rates

Federal Reserve Board Chair Jerome Powell speaks during a news conference the Federal Reserve in Washington, Wednesday, March 20, 2024. The Federal Reserve left the door open to cutting interest rates in the near future at the conclusion of its March meeting as officials try to walk the fine line of bringing inflation down without inducing a recession.at the conclusion of their March meeting on Wednesday, which came after a pair of inflation reports that were hotter than expected.

The central bank is facing a difficult balancing act with leveraging its benchmark interest rate and when to begin cutting them. If they wait too long, the economy could start to crack under the pressure of a higher rate environment and see increases in unemployment and slower activity. But if they move too soon, inflation could become entrenched above the 2% target.

“I always try to be careful about dismissing data that we don’t like. So you need to check yourself on that and I’ll do that,” Powell said. The central bank is facing some political pressure to ease its restrictive stance on rates to help give consumers more breathing room as they are still adjusting to higher prices, but officials are prioritizing restoring stability in prices.

Source: Loan Digest (loandigest.net)

United States Latest News, United States Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Federal Reserve Keeps Interest Rates, Rate Cut Outlook Steady for This YearKrisztian Sandor is a reporter on the U.S. markets team focusing on stablecoins and institutional investment. He holds BTC and ETH.
Source: CoinDesk - 🏆 291. / 63 Read more »

The Federal Reserve will cut interest ratesThe Federal Reserve will cut interest rates in 2024.
Source: dcexaminer - 🏆 6. / 94 Read more »

Federal Reserve still foresees 3 rate cuts this year but envisions higher rates in futureWhen will interest rates go down? We asked experts.
Source: fox43 - 🏆 564. / 51 Read more »

Federal Reserve holds interest rates steady, still projects cuts aheadIt has now left rates unchanged at each of its last five meetings.
Source: axios - 🏆 302. / 63 Read more »

Federal Reserve still foresees 3 rate cuts this year but envisions higher rates in futureWhen will interest rates go down? We asked experts.
Source: wfaa - 🏆 543. / 51 Read more »

Federal Reserve holds interest rates steady, projects three rate cuts later this yearThe Federal Reserve held interest rates steady Wednesday, but policymakers signaled they still expect to start cutting rates later this year.
Source: NPR - 🏆 96. / 63 Read more »