Page 51 - Fomc News Today

In Powell’s first comments since the press conference after the FOMC meeting last week, he comes across as extremely hawkish.

Outflows continued, rising significantly in the latest week, with Refinitiv Lipper reporting $2.136 billion coming out of municipal bond mutual funds, following outflows of $661.675 billion in the previous week.

The U.S. Federal Reserve will need to raise interest rates higher than officials are currently projecting if it is to wrestle inflation back under control, former U.S. Treasury Secretary Lawrence Summers said.

The FOMC has a plan to raise rates steadily over the course of the year and run off the balance sheet.

EMERGING Asian stocks and currencies jumped on Thursday as a hawkish tilt by the U.S. Federal Reserve matched expectations and encouraged investors with the view that policy tightening would not hinder growth.

The Investment Company Institute on Wednesday reported $2.258 billion of outflows in the week ending March 9, down from $3.502 billion of outflows in the previous week.

Gold prices rose Thursday after the US and UK central banks both raised their key interest rates by just a quarter-point in the face of inflation running at multi-decade highs.

For the first time since 2018, the Federal Reserve raised its benchmark interest rate by 25 basis points, increasing the target rate to 0.5 percent.

The market is being driven by the prospect of higher long-term inflation and the potential that the Federal Reserve may have to raise rates further than expected.

KUALA LUMPUR: The ringgit opened slightly weaker against the stronger US dollar after the latest strong economic data amidst rising inflationary pressures further suggests that the Federal Reserve (Fed) is on track to gradually remove the monetary policy accommodation.