2018-12-07 11:35:00 Fri ET
federal reserve monetary policy treasury dollar employment inflation interest rate exchange rate macrofinance recession systemic risk economic growth central bank fomc greenback forward guidance euro capital global financial cycle credit cycle yield curve
Fed Chair Jerome Powell hints slower interest rate increases because the current rate is just below the neutral threshold. NYSE and NASDAQ share prices rebound in response to the accommodative monetary policy moderation. Dow Jones surges about 600 points primarily due to this less hawkish stance. Wall Street expects the current interest rate hike to taper off. As a result, the U.S. dollar weakens a little bit relative to the major trade-weighted-average greenback index.
FOMC minutes reveal the high likelihood of another quarter-point increase in the federal funds rate in December 2018. However, some FOMC members propose removing the reference to *further gradual increases* in the target range insofar as the current stock market conditions persist. The federal funds rate might be near its neutral level so that some further rate hikes might inadvertently slow the current macroeconomic expansion and productivity growth. Within the target neutral range of interest rates, the U.S. economy operates with lower unemployment (3.7%) with minimal inflationary pressure (2%). Several FOMC members continue to express their deep concerns about Sino-U.S. tariff tension, corporate leverage, and public debt accumulation. The Trump team should exercise a fair bit of fiscal discipline in taxation and infrastructure with interim arrangements for Sino-American fair trade.
If any of our AYA Analytica financial health memos (FHM), blog posts, ebooks, newsletters, and notifications etc, or any other form of online content curation, involves potential copyright concerns, please feel free to contact us at service@ayafintech.network so that we can remove relevant content in response to any such request within a reasonable time frame.
2018-10-09 08:40:00 Tuesday ET

The International Monetary Fund (IMF) appoints Harvard professor Gita Gopinath as its chief economist. Gopinath follows her PhD advisor and trailblazer Kenn
2025-09-18 08:03:32 Thursday ET

Stock Synopsis: With a new Python program, we use, adapt, apply, and leverage each of the mainstream Gemini Gen AI models to conduct this comprehensive fund
2018-07-07 10:33:00 Saturday ET

The east-west tech rivalry intensifies between BATs (Baidu, Alibaba, and Tencent) and FAANGs (Facebook, Apple, Amazon, Netflix, and Google). These Sino-U.S.
2020-08-01 07:28:00 Saturday ET

Technological advances, geopolitical risks, and pandemic outbreaks cannot shake investor confidence in the American dollar as the global reserve currency.
2019-04-29 08:35:00 Monday ET

IMF chief economist Gita Gopinath predicts no global recession with key downside risks at this delicate moment. First, trade tensions remain one of the key
2018-11-30 12:42:00 Friday ET

Andy Yeh Alpha (AYA) AYA Analytica financial health memo (FHM) podcast channel on YouTube November 2018 AYA Analytica is our online regular podcast and news