US Economics

US Economics Weekly

16 June, 2017

Fed still to convince the markets of further rate hikes

Fed officials continue to anticipate one more rate hike in the second half of this year, but markets are not even convinced that the Fed will hike rates again within the next two years. The Fed has brought some of the market scepticism on itself, by repeatedly failing to follow through on planned rate increases in recent years. The decline in Treasury yields also presumably reflects growing fears that the window to pass tax cuts is rapidly closing. The mid-term elections scheduled for late next yea

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