ZEE Business
ZEE BUSINESS
हिंदी में पढ़ें  हिंदी में पढ़ें
Live TV
Live TV
  • Home
  • Personal Finance
    • PPF
    • Mutual Funds
    • Income tax
    • EPFO
    • Income Tax Calculator
    • Personal Loan Calculator
    • Car Loan Calculator
    • Home Loan Calculator
    • SIP calculator
    • SWP Calculator
    • MF Returns Calculator
    • Lumpsum Calculator
  • India
    • Companies
    • Property
    • Startups
    • Uidai
  • Economy
    • Aviation
  • Tech
    • Mobiles
    • Apps
  • Auto
    • Cars
    • Bikes
  • Markets
    • Commodities
    • Currency
  • Railways
  • World
    • Economy
    • Politics
    • Markets
  • Survey
  • videos
  • photos
  • More ...
    • VIDEOS
    • PHOTOS
BREAKING NEWS
  • Mahindra & Mahindra stock hits 52-week high as brokerages bullish on counter post Scorpio-N launch; check target prices
  • GST Council meet begins today: Know agendas of Finance Minister Nirmala Sitharaman's led two-day meeting
  • Security deposit on commercial LPG connection goes up by Rs 1050 for 19-kg cylinder; check new rates
  • Cash-starved Sri Lanka to end fuel duopoly to ease fuel shortages
  • Xiaomi 12S series set to launch with Leica cameras on July 4: Check key details here
Read in App
Business News » World News

US Fed leaves interest rates unchanged amid trade row with China

The central bank noted that the US labour market "remains strong" and economic activity "is rising at a moderate rate" since May, while indicators of business fixed investment "have been soft" and uncertainties about the economic outlook "have increased."

  • Twitter
  • Facebook
  • Linkedin
  • whatapp
  • View in App
US Fed leaves interest rates unchanged amid trade row with China
James Bullard, president of Federal Reserve Bank of St. Louis, voted against Wednesday`s policy decision, arguing that the Fed should lower the target range for the federal funds rate by 25 basis points at this meeting. Image source: Reuters

The US Federal Reserve has left interest rates unchanged as officials weighed mixed signals on the health of the US economy and the impact of trade tensions. The Federal Open Market Committee, the Fed`s policy-making committee, decided to maintain the target range for the federal funds rate at 2.25 per cent to 2.5 per cent, the Fed said in a statement on Wednesday after concluding a two-day policy meeting, Xinhua reported.

The central bank noted that the US labour market "remains strong" and economic activity "is rising at a moderate rate" since May, while indicators of business fixed investment "have been soft" and uncertainties about the economic outlook "have increased."

"In light of these uncertainties and muted inflation pressures, the Committee will closely monitor the implications of incoming information for the economic outlook and will act as appropriate to sustain the expansion, with a strong labour market and inflation near its symmetric 2 per cent objective," the Fed said.

The meeting came as market participants are expecting the Fed to lower interest rates later this year, partly due to concerns about the rising costs of trade tensions and slowing global growth. US President Donald Trump has also repeatedly pressured the Fed to lower rates and boost economic growth.

"I would say there was not much support for cutting rates now at this meeting," Fed Chairman Jerome Powell said on Wednesday at a press conference, adding Fed officials would like to wait and see more data before moving rates.

"We felt that it would be better to get a clearer picture of things, and that we would in fact learn a lot about these developments in the near term," he said.

"Ultimately the question we`re asking ourselves is are these risks going to be continuing to weigh on the outlook, and we will act as needed, including promptly if that`s appropriate, and use our tools to sustain the expansion," he added.

James Bullard, president of Federal Reserve Bank of St. Louis, voted against Wednesday`s policy decision, arguing that the Fed should lower the target range for the federal funds rate by 25 basis points at this meeting.

Noting that the Fed dropped its commitment to being "patient" in its policy statement, Analysts believed the Fed had opened the door for a rate cut as soon as July.

"Fed gears up for rate cut in July. The mood within the Fed has clearly shifted. But, they prefer to keep their powder dry for the moment. Risks are now to the downside," Diane Swonk, chief economist at Grant Thornton LLP, tweeted on Wednesday.

Nearly 40 per cent of economists expected the Fed to lower rates in July, while roughly 30 per cent foresaw a rate cut in September, according to a survey released by The Wall Street Journal earlier this month. 

Get Latest Business News, Stock Market Updates and Videos; Check your tax outgo through Income Tax Calculator and save money through our Personal Finance coverage. Check Business Breaking News Live on Zee Business Twitter and Facebook. Subscribe on YouTube.

TAGS:
US Fed RateUS Federal Reserve
Written By: IANS
Updated: Thu, Jun 20, 2019
11:14 am
Washington, IANS
RELATED NEWS
US Fed cuts interest rates by 25 basis points for second time this year US Fed cuts interest rates by 25 basis points for second time this year
Gold price rise: Will your yellow metal price cross Rs 36,000-mark? Find out Gold price rise: Will your yellow metal price cross Rs 36,000-mark? Find out
US rate cuts: Dollar inches higher after Fed curbs dovish enthusiasm US rate cuts: Dollar inches higher after Fed curbs dovish enthusiasm
Fed policymakers see one US rate hike, or none, as growth slows Fed policymakers see one US rate hike, or none, as growth slows
Global financial markets on edge on weak US cues Global financial markets on edge on weak US cues

LATEST NEWS

Mahindra & Mahindra stock hits 52-week high as brokerages bullish on counter post Scorpio-N launch; check target prices

Amazon Fab Phones Fest: Up to 40% off on smartphones from Apple, Xiaomi, Samsung, Tecno and more

Equitas Small Finance Bank increases FD, RD interest rates - Full Details

Rakesh Jhunjhunwala Stock: What makes brokerage bullish on Indian Hotels, 21% upside seen - know reasons here

Dalal Street Corner: Recovery in global market, buying in auto & metal stocks lift benchmarks; what should investors do on Wednesday?

DCGI approves Serum Institute's indigenous mRNA Covid jab Covovax for emergency use between 7-11 years

Shapoorji Pallonji Group chairman Pallonji Mistry dies at 93

Apple iPhone 14 Pro to feature Always-On Display - Check expected launch date, specifications and more

Buy, Sell or Hold: What should investors do with Strides Pharma, MRPL and IEX shares?

GST council clears proposal to remove tax exemptions on some items

  • India News
  • World News
  • Companies News
  • Market News
  • Personal Finance News
  • Technology News
  • Automobile News
  • Small Business News
  • Income Tax Calculator
  • Live TV
  • Videos
  • Photos
  • Author
  • Rss Feed
  • Advertise with us
  • Privacy Policy
  • Legal Disclaimer

Latest Trending Updates

  • EPFO
  • Budget 2020
  • Income Tax Return
  • Auto Expo 2020
  • Home Loan
  • Business News

Trending Topics

  • Income Tax
  • income Tax Calculator
  • 7th Pay Commission
  • Reserve Bank of India
  • GST
  • Latest Business News

Follow us on

zeebiz
zeebiz

Partner Sites

  • Zee News
  • Hindi News
  • Marathi News
  • Bengali News
  • Tamil News
  • Malayalam News
  • Gujarati News
  • Telugu News
  • Kannada News
  • DNA
  • WION
© 2022. India Dot Com Private Limited. All Rights Reserved.
LIVE TV