Investors Do Not Expect The Federal Reserve To Raise Rates This Year Or Next

Investors Do Not Expect The Federal Reserve To Raise Rates This Year Or Next

 A surge in US hiring will not be enough to prompt a Federal Reserve interest rate rise this year or next, investors believe, as ripple effects work their way across the Atlantic.

Figures released on Friday are set to show that the US created 180,000 jobs in June, rebounding from the worst jobs report in five years, as the economy added just 38,000 positions.

"The fallout from Brexit makes a 2016 rate hike unlikely" per James Smith

Fed officials had said that they would be watching the labour market data for signs of improvement, which central bank watchers believed could encourage a rate rise in the coming months.

However, the UK’s referendum result has suppressed hopes for higher rates. Janet Yellen, the Fed chairman, said last month that a Brexit would bring a “period of uncertainty” and the possibility of “a period of financial market volatility that would negatively affect financial conditions and the US economic outlook”.

Neil Mellor, a BNY Mellon strategist, said that the vote had “compounded doubts that the Fed will be able to hike rates this year at all, let alone implement the two hikes [it had] notionally penciled in”.

Source: Peter Spence, Economics Correspondent

Penny Seahorn Headshot
Phone: 602-549-9242
Dated: July 4th 2016
Views: 183
About Penny: Buying and selling a home is a very important event in your life. Whether it be your first home, a ...

Property Search

RSS Feed

View our latest blog posts in your RSS reader. Click here to access. RSS

Search Blog

Recent Blogs

Top 10 Most Unique Festivals - In the list of the Top 10 Most
Mar 6 2018 14278 1 -  Competition is Coming, Are
Latest Financial News For Mortgage Rates -  Quiet WeekOverview: The
Top 10 Rules When Applying For A Mortgage -   I. Do not

Saved Properties

This is a list of your favorite properties. We will email you if a property is reduced or leaves the market.

Click 'Save' to add a property to this list.

Register / Login

New & returning visitors please enter your information to login.

By clicking 'register' you are agreeing to our terms of use & giving us expressed written consent to contact you.

Questions? Comments? Complaints?

This message will go directly to the head of our team.

Location & Address

American AllStar Realty
6642 E Baseline Rd Ste 101
Mesa, AZ