All articles tagged with #monetary policy
Gold jumped about to $4,599 per ounce and silver to $84.60 per ounce, both records, after Fed Chair Powell warned that DOJ subpoenas attempting to probe his Senate testimony are political pressure on monetary policy. He argued the Fed must set rates based on evidence and conditions, not politics, sending the U.S. dollar lower by roughly 0.4% as investors sought safe havens.
A bipartisan group of former Fed chairs and top officials publicly rebuke the Justice Department's investigation into Fed Chair Jerome Powell, warning the move could threaten the central bank's independence, as financial markets digested the news with stocks wavering and the dollar slipping.
The article examines historical data on large tariff increases, particularly around 2025, showing that such shocks historically raised unemployment and lowered inflation, possibly due to increased uncertainty, and discusses implications for current monetary policy decisions.
The Federal Reserve is expected to cut interest rates more in 2026 due to a weakening US job market and slowing growth, which could boost gold and challenge the dollar, with the next Fed chair's policies playing a crucial role.
The article discusses the European Central Bank's (ECB) recent actions and the increasing speculation surrounding its monetary policy decisions, highlighting concerns and market reactions.
The speech discusses cautious optimism for 2026, highlighting progress in inflation reduction, especially in housing and core services, and the need for clarity on economic growth and labor market trends amid divergent signals. It emphasizes the importance of monetary policy in maintaining price stability and maximum employment, while considering structural changes like AI's influence on productivity and employment. The speaker advocates for patience and credibility in policy decisions, aiming for a balanced approach to economic stability.
Federal Reserve Bank of Philadelphia President Anna Paulson indicated that modest interest rate cuts could be appropriate later in 2026 if the economy remains benign, with inflation expected to moderate and the labor market stabilizing, though risks remain elevated. She noted current policy is slightly restrictive, helping to bring inflation to the 2% target, and highlighted uncertainties due to tariffs and recent economic data. Policymakers are divided on rate adjustments, with some favoring holding rates steady until more data is available.
The US Federal Reserve's December meeting revealed a deep divide among officials over interest rate cuts, with most supporting a modest reduction to support the labor market amid economic uncertainties, but concerns remain about inflation and economic slowdown, leading to cautious outlooks and expectations of holding rates steady in the near future.
The Federal Reserve minutes reveal significant disagreements within the US central bank, highlighting deep fissures over monetary policy decisions.
The Federal Reserve released the minutes of its December 9-10, 2025, Federal Open Market Committee meeting, providing insights into the economic and financial conditions considered during the policy decision, with the minutes available on the Federal Reserve's website.
The December Federal Reserve meeting revealed deep divisions among policymakers regarding interest rate cuts, with most supporting a modest reduction amid concerns about economic risks and inflation progress, but opinions remain divided about future rate adjustments as new economic data is awaited.
The article discusses the potential influence of President Trump on the Federal Reserve's leadership, raising questions about the independence of the Fed and whether it will continue to operate free from political pressure.
China kept its benchmark loan prime rates unchanged for the seventh month, indicating a cautious approach to monetary easing as the economy shows signs of stabilization and aims for a 5% growth target, with policymakers possibly delaying further stimulus measures until next year.
Beth Hammack, President of the Federal Reserve Bank of Cleveland, indicated that there is no need to change U.S. interest rates for the coming months, as she is more concerned about persistent inflation than labor-market issues, and believes the current rate is appropriate until clearer signs of inflation easing or employment weakening emerge.
The Bank of Japan raised its key interest rate to 0.75%, the highest since 1995, to combat persistent inflation, marking a shift from years of near-zero rates, which impacts borrowing costs, currency value, and global markets, amid ongoing economic challenges and a weakening yen.