Federal Reserve Chair Janet Yellen returns to the most-watched economic confab of the year — the symposium in Jackson Hole, Wyoming — after missing last year’s, and all ears will be listening for a hint at monetary policy for the rest of the year.
The Bank of England cut its key bank rate to 0.25% as it tries to dampen a recession that economists had predicted following the vote by the U.K. to leave the European Union.
The central bank votes thumbs-down to an increase in interest rates, kicking the can down the road to at least September.
Next week, the Federal Open Market Committee meets to decide on the direction of monetary policy. Currently, the fed funds rate sits at 0.25% to 0.5%.
The Federal Open Market Committee (FOMC) influences reserve availability using open market operations by adding or removing reserves from the banking system.
Will the Fed raise its targeted federal funds rate in September? The world will know after it meets in mid-September. Is it time to put away the punch bowl?
With the Fed not raising its targeted federal funds rate on Wednesday, investors in certificates of deposit will have to wait on the prospect of higher short-term interest rates.
Janet Yellen and her Federal Reserve colleagues are still looking for the right time to raise interest rates.
The Fed is likely to modify the phrasing of its policy statement to signal that an increase in the targeted federal funds rate is not a “considerable time” off in the future.
Fed Chair Yellen discusses weakness remaining in the job market and how it affects interest rates.