Fed Reserve Chairman hints at cutting interest rates!!!
Loans may soon become cheaper in the United States. The US Central bank has hinted at cutting interest rates. US Federal Reserve Chairman Jerome Powell, while addressing the Jackson Hole retreat, said, now is the time for the central bank to adjust its policy rates. He said, the risk of inflation has decreased and now the risk has shifted towards employment, after which it has become necessary for the Fed Reserve to support the labor market.
Jerome Powell said, the time has come to adjust the policy. The direction of travel is clear and the timing and pace of rate cuts will depend on the upcoming data outlook, balance of risks. He said, the risk of rising inflation has now been averted and the risk of employment reduction has increased. According to Jerome Powell, the problems faced by the economy after the Covid pandemic are now coming to an end. Inflation has come down and the labour market is not overheated, the situation is less dire than before the pandemic. Experts are predicting a quarter-rate cut in interest rates at the Federal Reserve meeting to be held on 17-18 september 2024.
After this much-awaited statement by the Federal Reserve Chairman, the US stock market is trading with strong momentum. Dow Jones is trading with a gain of 0.77 percent or 311 points while Nasdaq is trading with a gain of 1.02 percent or 174 points while S&P500 is trading with a jump of 0.73 percent. The indian stock market also closed flat on the last day of the week as it was also awaiting the speech of the Fed Chairman.
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