Federal Reserve

Fed on rough road to normalisation, Economic outlook and challenges for East Asia

Fed on rough road to normalisation, Economic outlook and challenges for East Asia

Commentary: Fed on rough road to normalisation

By Neil Williams in London

The Federal Reserve, presiding over a shrunken output gap and perkier wage growth, remains the test case for whether any central bank can ‘normalise’ interest rates. The likelihood is that US rates are already at or close to their summit. Even if the Fed surprises markets by raising rates again, this would still leave its official policy rate...

http://www.allaboutshipping.co.uk/2019/04/25/fed-on-rough-road-to-normalisation-economic-outlook-and-challenges-for-east-asia/

Fed running out of monetary ammunition, Infrastructure Investor Japan Korea Week

Fed running out of monetary ammunition, Infrastructure Investor Japan Korea Week

Commentary: Fed running out of monetary ammunition

By Desmond Lachman in Washington

It is clear that President Donald Trump’s administration is not concerned with whether the US will have enough resources left to fight the next downturn. The president’s quest for an ultra-easy monetary policy at this late stage in the economic cycle might cause the US economy to overheat and thereby rekindle inflation. Moreover, it...

http://www.allaboutshipping.co.uk/2019/04/18/fed-running-out-of-monetary-ammunition-infrastructure-investor-japan-korea-week/

Clash over Fed policy escalates, Assessing Brazil’s economic climate

Jay Powell

Clash over Fed policy escalates, Assessing Brazil’s economic climate

Commentary: Clash over Fed policy escalates 

By Darrell Delamaide in Washington

The reversal of monetary policy by Federal Reserve Chair Jay Powell and his troops to be super-accommodative has done little to quell the pressure on US policy-makers. In fact, it seems to have escalated the war on Fed policy; investors and President Donald Trump are pushing for a rate cut when the Federal Open Market Committee has only...

http://www.allaboutshipping.co.uk/2019/04/04/clash-over-fed-policy-escalates-assessing-brazils-economic-climate/

Back to pre-1914 Fortress America, Fed Talk: 2018 overview and 2019 outlook

Commentary: Back to pre-1914 Fortress America

By Meghnad Desai in New Delhi

President Donald Trump has redefined the aims of US foreign policy. We are back to pre-1914 ‘Fortress America’. The US entered the first world war only because of the German U-boat sinking of the RMS Lusitania. It entered the second only after the bombing of Pearl Harbor. Trump wants to confine US defence activity strictly to defend national interests. He no longer wishes to run the world, and has ended the doctrine of...

http://www.allaboutshipping.co.uk/2019/01/09/back-to-pre-1914-fortress-america-fed-talk-2018-overview-and-2019-outlook/

Daily Overview of Global Markets & the SEE Region (Thursday, December 20, 2018)

HIGHLIGHTS

WORLD ECONOMIC & MARKET DEVELOPMENTS

GLOBAL MARKETS:The Federal Reserve raised the fed funds rate by a further 25bps to a range of 2.25%-2.50% at this week’s two-day meeting which concluded late yesterday, as expected. The forward guidance in the statement was slightly modified. The Fed reiterated that “further gradual increases in the federal funds rate” will be required noting thought that it is now its  “judgment” rather than its “expectation” that some further rate tightening will...

http://www.allaboutshipping.co.uk/2018/12/20/daily-overview-of-global-markets-the-see-region-thursday-december-20-2018/

Trump stuck with Powell despite strains, Global crypto-asset regulatory landscape

Commentary: Trump stuck with Powell despite strains

By Darrell Delamaide in Washington

Minneapolis Federal Reserve President Neel Kashkari’s defiance on the Fed’s interest rate increases has made commentators wonder if he was angling for Jerome Powell’s job as Fed chair. Donald Trump himself has been complaining loudly and often how much Powell’s policy bothers him. In practice, the US president’s freedom of action in firing a Fed chief is practically non-existent. The Fed has sought to defend...

http://www.allaboutshipping.co.uk/2018/11/22/trump-stuck-with-powell-despite-strains-global-crypto-asset-regulatory-landscape/

Central banks face ‘hot breath’ over QE, Technology, investment and the future of cities

Commentary: Central banks face ‘hot breath’ over QE

By David Marsh in New York

Political constraints on the US Federal Reserve and the European Central Bank restarting large-scale asset purchases to combat a future recession will be much greater than after the 2008 financial crisis. Interest rates are unlikely to rise high enough during the current tightening cycle to quell any downturn simply with rate cuts.

Experts recognise that QE will be part of central banks’ toolkit for dealing with the...

http://www.allaboutshipping.co.uk/2018/10/02/172593/

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