HSH Analyzes Latest Fed Meetingby Tim Manni
In case you missed it, HSH published an article last week after the recent FOMC meeting entitled “Fed Does Nothing, As Expected.” In detail, the article analyzes the reasons behind the Fed’s decision to leave interest rates unchanged:
As the economy remains fragile, the Federal Reserve Open Market Committee decided today to leave key short-term interest rates unchanged. The Fed last made a change to policy in late April, and has been holding steady since then. The Federal Funds Rate remains at 2%, while the “discount” rate — the cost of money for a bank borrowing directly from the Fed — held at 2.25%
Although today’s lack of movement was expected, there have been a varying number of calls from the market for the Fed to at least consider raising interest rates to start to address rising price pressures.