Page 12 - He Fed News Today : Breaking News, Live Updates & Top Stories | Vimarsana

The hot GDP report may push out timelines for the Fed to cut interest rates, but it also signals the economy probably isn't on the verge of a recession.

Federal Reserve policymakers have signaled they won't cut U.S. interest rates just yet; economists think they will wait until June, given ongoing strength in household spending and uncertainty over the economic outlook, and market bets now point to the April 30-May 1 policy meeting. But U.S. central bankers, who have kept the Fed's benchmark overnight interest rate in the 5.25%-5.50% range since last July, have already begun the pivot to easier policy. The turn in communications may be yet more evident in the policy statement due to be issued next Wednesday after the end of the Fed...

Global firms had to find cheaper alternatives to dollar debt as the Fed raised interest rates, the Atlantic Council wrote.

"Monetary policy now is as tight as it has ever been on the precipice of a recession."

Read CNN’s Eurozone Fast Facts and learn more about the common currency zone of the European Union.