Fed Seen Raising Rates 25 Basis Points to 4.00%-4.25% in December
Updated
Updated · Yahoo Finance · Nov 10
Fed Seen Raising Rates 25 Basis Points to 4.00%-4.25% in December
3 articles · Updated · Yahoo Finance · Nov 10
Summary
All 101 economists in a Nov. 6-10 Reuters poll expect the Federal Reserve to lift the fed funds rate by 25 basis points in December to 4.00%-4.25%, after a September hike and October pause.
Inflation still above the Fed's 2% target, a strong labor market and resilient growth drove that view, with economists saying risks to the medium-term inflation outlook were largely unchanged after the midterm elections.
Fifty-six of 101 forecasters expect December to mark the end of the current tightening cycle, but 45 still see at least two more increases ahead, broadly matching market pricing.
If the consensus holds, the Fed's campaign would end after just two rate increases, making it the shortest U.S. rate-hiking cycle in more than a decade.