Fed Rate Cuts Off The Table As Inflation Surges Above 4%
The Federal Reserve is likely to hold US interest rates at its next meeting as inflation remains stubbornly high, affirms the CEO of global financial advisory giant deVere Group.
The comments from Nigel Green come as the Federal Reserve's preferred inflation measure climbed to 4.1% in May, its highest annual reading since April 2023 and more than double the central bank's 2% target. Core inflation, which strips out food and energy, also accelerated to 3.4%, while consumer spending remained firm, highlighting an economy that continues to generate inflationary pressure despite elevated borrowing costs.
AdvertisementHe says:
Nigel Green continues:
He says the biggest shift has been in investor expectations.
Nigel Green believes the resilience of the US economy gives policymakers little reason to rush.
He warns investors against expecting an imminent return to ultra-cheap money.
Nigel Green says persistent inflation also raises the stakes for financial markets.
He concludes:
Research oil and gas stocks at Investorideas free stock directory:>
Legal Disclaimer:
MENAFN provides the
information “as is” without warranty of any kind. We do not accept
any responsibility or liability for the accuracy, content, images,
videos, licenses, completeness, legality, or reliability of the information
contained in this article. If you have any complaints or copyright
issues related to this article, kindly contact the provider above.
Comments
No comment