The Consumer Price Index for July 2017 came out on Friday with a modest 0.1% tick upward. This comes to a year-to-year basis of 1.7% which is still below the Federal Reserves 2.0% target rate. Of course, the Federal Reserve does not use the CPI to track inflation. They use the Price Consumption Expenditures (PCE) … Continue reading Inflation is NOT Out of Control but Why does the FED Continue to Raise Rates?
The Federal Open Market Committee ended its two day meeting today and has decided to increase the Federal Funds Rate to 0.75% form 0.50%. A relatively small change but still on track for what the Federal Reserve wants for their long term goal. Janet Yellen, Chair of the Federal Reserve, also mentioned three more possible rate … Continue reading The Fed Has Spoken. The Rate Goes Up
In December of 2016, the Federal Reserve raised the Federal Funds Rate rate by 0.25% for the first time in over a year, which is still a historic low, to a rate of 0.50%. The Federal Funds Rate is the interest rate banks at which banks charge each other when giving overnight loans to one another. Banks … Continue reading Rate Up Tick Likely? Federal Open Market Committee Meeting Begins Today