Go offline with the Player FM app!
A More Cautious Fed Signals 'High For EVEN Longer' Interest Rates | Axel Merk
Manage episode 416017085 series 3548516
Yesterday, May 1 2024, the Federal Reserve issued its latest policy statement, followed by a press conference by Fed Chair Jerome Powell.
The Fed held its policy interest rate steady at 5.25%, as expected.
Somewhat surprising to Wall Street was the Fed's announcement that it will reduce the scope of its Quantitative Tightening program starting in June. US Treasury roll-off will be reduced to $25 billion per month, down from the current $60 billion per month.
Above and beyond that, Jerome Powell admitted that inflation is proving more stubborn to tame than the Fed hoped at the start of the year, and that getting it down sustainably to the Fed's 2% target will "take longer than previously expected". This essentially is admitting that interest rates will stay hike for EVEN longer.
In this video, Fed-watcher Axel Merk of Merk Investments joins Thoughtful Money host Adam Taggart to provide an immediate reaction to the Fed's guidance and take live Q&A from the viewing audience.
WORRIED ABOUT THE MARKET? SCHEDULE YOUR FREE PORTFOLIO REVIEW with Thoughtful Money's endorsed financial advisors at https://www.thoughtfulmoney.com
#interestrates #inflation #federalreserve
108 episodes
Manage episode 416017085 series 3548516
Yesterday, May 1 2024, the Federal Reserve issued its latest policy statement, followed by a press conference by Fed Chair Jerome Powell.
The Fed held its policy interest rate steady at 5.25%, as expected.
Somewhat surprising to Wall Street was the Fed's announcement that it will reduce the scope of its Quantitative Tightening program starting in June. US Treasury roll-off will be reduced to $25 billion per month, down from the current $60 billion per month.
Above and beyond that, Jerome Powell admitted that inflation is proving more stubborn to tame than the Fed hoped at the start of the year, and that getting it down sustainably to the Fed's 2% target will "take longer than previously expected". This essentially is admitting that interest rates will stay hike for EVEN longer.
In this video, Fed-watcher Axel Merk of Merk Investments joins Thoughtful Money host Adam Taggart to provide an immediate reaction to the Fed's guidance and take live Q&A from the viewing audience.
WORRIED ABOUT THE MARKET? SCHEDULE YOUR FREE PORTFOLIO REVIEW with Thoughtful Money's endorsed financial advisors at https://www.thoughtfulmoney.com
#interestrates #inflation #federalreserve
108 episodes
All episodes
×Welcome to Player FM!
Player FM is scanning the web for high-quality podcasts for you to enjoy right now. It's the best podcast app and works on Android, iPhone, and the web. Signup to sync subscriptions across devices.