With the Federal Reserve set to deliver another big rate rise Wednesday, considerable uncertainty still surrounds the final destination for the central bank’s campaign of monetary policy tightening.
The rate-setting Federal Open Market Committee is almost certain to deliver a three quarter of a percentage point increase in its overnight target rate range, lifting it to between 2.25% and 2.5%. Based on comments by Fed officials, it won’t be the final level in a campaign aimed at combating the worst levels of inflation seen in four decades.
Derby’s Take: Even With Rate Increase, Fed Will Still Have Lots of Work to Do
With the Federal Reserve set to deliver another big rate rise Wednesday, considerable uncertainty still surrounds the final destination for the central bank’s campaign of monetary policy tightening.
The rate-setting Federal Open Market Committee is almost certain to deliver a three quarter of a percentage point increase in its overnight target rate range, lifting it to between 2.25% and 2.5%. Based on comments by Fed officials, it won’t be the final level in a campaign aimed at combating the worst levels of inflation seen in four decades.