Friday, November 30, 2018
Interest rate hikes may be delayed. Great news for homebuyers!
Good news for home buyers!
Federal Reserve Chairman Jerome Powell raised the possibility that the central bank is willing to hit the brakes on interest rate hikes in the near future. This should slow mortgage rate increases, allowing you to buy more home for your money!
The Federal Open Market Committee (FOMC), the central bank’s policy making arm, will meet again in December, and many observers believed another rate hike would occur at that time. But in prepared remarks delivered today before the Economic Club of New York, Powell stated the central bank had “no preset policy path,” adding that he was cognizant of the concerns that raising rates too quickly would disrupt the economy.
“We know that moving too fast would risk shortening the expansion,” Powell said. “We also know that moving too slowly, keeping interest rates too low for too long, could risk other distortions in the form of higher inflation or destabilizing financial imbalances. Our path of gradual increases has been designed to balance these two risks, both of which we must take seriously.”
Powell made no specific mention of President Trump, who appointed him to the Fed’s leadership and has since made several harshly critical remarks of the Fed’s rate hikes. Powell defended recent rate increases, noting that “interest rates are still low by historical standards, and they remain just below the broad range of estimates of the level that would be neutral for the economy—that is, neither speeding up nor slowing down growth.”
Subscribe to:
Post Comments (Atom)
Popular Posts
-
If you’re faced with a clogged toilet and you don’t have a plunger or don’t want to use a plunger because it’s too disgusting try this tri...
-
A Joliet, Illinois mansion may be the deal of a lifetime -- or it may scare you to death. The Hiram Scutt Mansion is a national landm...
-
You're ready to take the leap and buy a home. If this is your first time, you may want to know what to do to make the process go more s...
-
Do you like to travel? Do you travel to Europe? If so, you need to read this article... Here’s what you need to know about the new E...
-
One of the best reasons to list your home with a real estate agent isn't just about getting more money for your home. While a real esta...
-
When you're selling your home, you need every advantage you can get. And there are few homes that are magically market ready without a ...
-
There is nothing quite like a floral display to add a touch of love and warmth to a room. Receiving a glorious bouquet of flowers defi...
-
In the Tampa Bay area, a 60,000-square-foot mansion in Hillsboro Beach has hit the market after seven years of construction. "...
-
A recent survey by the National Association of Realtors (NAR) found that Eighty-three percent of people view their home as a good financial...
-
With the housing market being a seller's market on steroids, due to lack of homes are the market, you need to be prepared to have to fig...
No comments:
Post a Comment