Finance

Powell: ‘Soft’ economic landing may be out of Fed’s control

Editorial Bureau May 13, 2022

WASHINGTON — Federal Reserve Chair Jerome Powell, fresh off winning Senate confirmation for a second term earlier in the day, acknowledged for the first time Thursday that high inflation and economic weakness overseas could thwart his efforts to avoid causing a recession. For weeks, Powell has

Finance

Senate confirms Powell for 2nd term as Fed fights inflation

Editorial Bureau May 13, 2022

WASHINGTON — The Senate on Thursday confirmed Jerome Powell for a second four-year term as Federal Reserve chair, giving bipartisan backing to Powell’s high-stakes efforts to curb the highest inflation in four decades. The 80-19 vote reflected broad support in Congress for the Fed’s drive to combat surging prices through a series of sharp interest […]

Finance

Senate confirms Black economist to Federal Reserve Board

Editorial Bureau May 12, 2022

WASHINGTON — The Senate confirmed economist Phillip Jefferson to the Federal Reserve’s Board of Governors late Wednesday, the latest addition to the panel after delays and setbacks for some of President Joe Biden’s nominees. Jefferson becomes the fourth Black man to serve on the Fed’s board, and he would join Lisa Cook, the first Black […]

Finance

Fed raises key rate by a half-point in bid to tame inflation

Editorial Bureau May 5, 2022

WASHINGTON — The Federal Reserve intensified its fight against the worst inflation in 40 years by raising its benchmark short-term interest rate by a half-percentage point Wednesday — its most aggressive move since 2000 — and signaling further large rate hikes to come. The increase in the Fed’s key rate raised it to a range […]

Finance

Powell reinforces expectations of sharp rate hike next month

Editorial Bureau April 22, 2022

WASHINGTON — The Federal Reserve must move faster than it has in the past to rein in high inflation, Chair Jerome Powell said Thursday, signaling that sharp interest rate increases are likely in the coming months, beginning at the Fed’s next policy meeting in May. In a panel discussion held by the International Monetary Fund […]

Finance

Fed casting its inflation fight as battle against inequality

Editorial Bureau April 8, 2022

WASHINGTON — As the Federal Reserve intensifies its efforts to tame high inflation, its top officials are casting their aggressive drive in a new light: As a blow against economic inequality. That thinking marks a sharp reversal from the conventional view of the Fed’s use of interest rates. Normally, the steep rate hikes the Fed […]

Finance

Fed moves toward slashing bond holdings to fight inflation

Editorial Bureau April 7, 2022

WASHINGTON — The Federal Reserve is moving closer to rapidly shrinking its huge $9 trillion stockpile of bonds in the coming months to fight high inflation, a move that would contribute to higher borrowing costs for consumers and businesses. In minutes from their most recent policy meeting three weeks ago, released Wednesday, Fed policymakers said […]

UK

Interest rates raised by Fed, Dollar gains surge

Editorial Bureau June 17, 2021

LONDON (UK) – The US Federal Reserve signalling to raise interest rates and end emergency bond-buying sooner than expected not only surprised the market but also led to extended gains of the dollar. Fed officials on Wednesday projected an accelerated timetable for rate increases, began talks on how to end the emergency bond-buying, and said […]

Finance

Fed gives hawkish policy, European shares slip from record highs

Editorial Bureau June 17, 2021

Federal Reserve surprised investors by taking a hawkish tone to its policy. This in turn led European shares to fall from record highs after tracking declines on Wall Street. CureVac sank 40% after failing in a pivotal COVID-19 vaccine trial. The pan-European STOXX 600 index was down 0.3%, snapping a nine-day gaining streak, after the […]

Finance

Ahead of Fed Reserve chairman speech currency markets remain in subdued mood

Editorial Bureau August 26, 2020

LONDON (UK) – With investors refusing to place risky bets a day ahead of a much-awaited key speech by Federal Reserve Chairman Jerome Powell, the greenback and the euro traded cautiously on Wednesday. There is speculation that Powell could announce a softer policy stance towards inflation at the annual Jackson Hole retreat on Thursday. Investors […]