Despite Trump criticism, Fed sees need for more rate hikes

Policy makers at the Federal Reserve remain focused on gradually raising interest rates in response to strength in the USA economy and low unemployment, according to minutes of their September meeting released Wednesday.

The discussion, revealed in minutes of the September 25-26 meeting released Wednesday, shows that a few participants believed that the Fed's key interest rate would need to "become modestly restrictive for a time" to guard against inflation climbing too high.

Still, a "couple" of participants said they would oppose this unless clear danger signs - an overheating economy and mounting inflation - were to arise.

Trump has repeatedly criticized the Fed for rate increases, ratcheting up his rhetoric in recent days.

Stepping up his attacks on the Federal Reserve, President Donald Trump declared Tuesday that the Fed is "my biggest threat" because he thinks it's raising interest rates too quickly.

Trump threatens to 'close border' over Central America caravan
Some have said they are fleeing gang violence, and are traveling as a group for protection from criminal gangs. The official also said the migrant caravan will be a "prominent" topic of discussion at those meetings.

Saudi considers admitting Khashoggi died in botched op
Saudi Arabia has strongly denied killing Khashoggi . "The denial was very, very strong", Trump told reporters. Turkish police investigators entered the Istanbul consulate late on Monday.

Once in a lifetime weather event hits Spain
In October 2017, strong winds from passing Hurricane Ophelia fed forest fires that killed around 40 people during a heatwave. Portuguese authorities had urged those living on the coast to stay indoors amid warnings of winds that reached 176km/h.

Furthermore, "some" at the meeting said risks grew as the U.S. economy increasingly outpaced its rivals" more sluggish growth "because of the potential for further strengthening of the dollar'. Analysts have pointed to rising interest rates, which can make stocks a less attractive investment.

The Fed has raised interest rates six times during the Trump administration, three of those times under current Fed chief Jerome Powell, who was nominated by Trump.

But, amid brisk American expansion, some Fed policymakers also warned of looming dangers to the world economy, such as the potential for a strengthening USA dollar and possible contagion from sputtering emerging markets, according to minutes from the Fed's most recent meeting three weeks ago. Then it's quiet until the Fed's Quarles speaks on the economic outlook in NY at 1615 GMT.

At its meeting on September 25 to September 26, the Fed also said it will raise rates in December, possibly three more times in 2019 and at least once in 2020. The 3 percent level is the point where officials believe Fed policy is neither boosting growth or holding it back. Right now, however, inflation rates are unusually low for an economy with such a low unemployment rate. The minutes noted that the tax cuts Trump had pushed through Congress late last year along with the spending increases Congress approved at the beginning of this year were boosting economic activity.

Related News:



Most liked

Kim Kardashian shuts down ‘mom shamers’
The couple, during their State House visit, handed over a pair of white Yeezy kicks from Kanye's popular clothing line. I held fruitful discussions with the duo on how to promote Uganda's tourism and the arts.

The hilarious comment Prince Harry made about an Aussie lifeguard's feet
Meghan tied the whole look together with a Shaun Leane cuff ($1,211) and her trusty Martin Grant trench coat. Some members of the crowd sang Stand By Me - a song the couple chose for their wedding service in May.

France's finance minister cancels his Saudi conference trip amid Khashoggi disappearance
On Wednesday afternoon, Turkish investigators entered the Saudi consul's residence, about 200m (650ft) from the consulate. Turkish officials have said Khashoggi was murdered in the Saudis' Istanbul consulate, which Saudi officials have denied.

Donald Trump Tweets "MANY CRIMINALS" On Way To Border, Blames Democrats
President Donald Trump on Thursday morning accused Democrats of orchestrating an illegal immigrant "assault on our country". USA secretary of state Mike Pompeo is preparing to set off on a tour of the region.

Neymar regrets PSG move, ready to be reunited with Messi at Barcelona
They also report that during this past summer, Neymar nearly cried in front of a Barça director asking for him to be re-signed. Luis Suarez and Ivan Rakitic were also some of Neymar's close acquaintances and he still considers Barcelona as "his club".

Lovebirds Ranbir Kapoor and Alia Bhatt twin and stroll in NYC!
After she arrived in New York, Alia also shared a photo of herself on her Instagram timeline and captioned it: " The Big Apple ". Bollywood stars Alia Bhatt and Ranbir Kapoor have been hinting about their ongoing romantic relationship from quite sometime now.

Forget XS & XS Max, Apple's cheaper iPhone XR to be a hit
The only difference is how the phones zoom.The iPhone XR lacks a telephoto lens, so it can only achieve 3x digital zoom. Apple enthusiasts in India are in for some treat this festive season with the company launching its latest iPhone XR .

Zazai blitzes 12-ball 50 to equal Gayle
When Kabul Zwanan begun the reply innings, opener Hazratullah Zazai clubbed six sixes in an over, thundering the ground. The 20-year-old produced a whirlwind 12-ball half-century which included 7 sixes and four boundaries.

Facebook's ongoing investigation whittles compromised accounts down to 30 million
According to the report, the attackers already controlled a set of accounts, which were connected to Facebook friends. The Korea Communications Commission said Sunday, " Facebook informed us of the damage done to Korean users".

Won’t disconnect mobile phones issued through Aadhaar, says Centre
What the apex Court has asked that UIDAI should not keep authentication log for more than 6 months. The photo of his/her ID such as Aadhaar card, voter ID, etc. will also be captured.

MLB Investigating Astros Employee For Videotaping Red Sox's Dugout
The Indians were concerned the man was attempting to view scouting reports Cleveland had on Houston's players, one person said. The man was allowed to remain in the stadium but was not allowed back into the media area.

Did Meghan Markle snub Melbourne designers on royal tour?
The Duke and Duchess of Sussex were in the city of Dubbo on Wednesday as part of their Australian royal tour . "She told us that Ruby is very cute and said she is doing really well with her pregnancy", Ms Carroll said.

Red Sox benefit from controversial fan interference
Boston's star outfielder Mookie Betts nearly robbed Altuve of the homer, but fan interference sent the ball back onto the field. And after a lengthy review, the umpiring crew in NY couldn't find sufficient evidence to overturn it.

Meghan Markle shows off her growing baby bump in gorgeous blue dress
During another demonstration, Meghan got a shock when a group of school children demonstrated a miniature F1 race track. Charcoal Lane now employs 23 young people for 15 hours a week where they work towards a Certificate 2 in hospitality.

Further US rate hikes 'most likely' needed: Fed minutes
The recent increase in interest rates has spooked investors who fear higher borrowing costs could slow down the economy. But others argued against stronger tightening of monetary policy without "clear signs" the economy is running hot.