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Post by roi2020 on Sept 21, 2022 18:05:26 GMT
The Federal Reserve raised the federal funds rate 75 bps today as widely expected. |
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Post by roi2020 on Sept 21, 2022 19:33:47 GMT
Here are a few takeaways from Jerome Powell's press conference.
Core PCE inflation over the trailing 3 months, 6 months, and 12 months is running too high and is not where the Fed wants it to be.
Shelter inflation will remain high for some time.
There needs to be a better balance between supply and demand in the labor market.
The Fed wants to be in a place where there are positive real rates across the yield curve.
FOMC economic projections for 2022 year-end: 0.2% GDP; 3.8% unemployment; 5.4% PCE; 4.5% core PCE; 4.4% Federal funds rate.
FOMC economic projections for 2023 year-end: 1.2% GDP; 4.4% unemployment; 2.8% PCE; 3.1% core PCE; 4.6% Federal funds rate.
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Post by uncleharley on Sept 21, 2022 20:40:37 GMT
The trend continues..
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Post by roi2020 on Sept 21, 2022 21:19:27 GMT
How to Read the Fed’s Projections Like a Pro |
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Post by anitya on Sept 22, 2022 0:36:54 GMT
roi2020, Thanks for the thread. Did I hear Powell presser correctly that he thinks there will be a correction in the housing market? He does not like to spell out the negative stuff like he can not bring himself to saying "recession" and so, I am wondering if I heard the housing comment correctly. Guilty of multi-tasking during the presser.
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