Federal Reserve Stays Course, Raises Rates
Federal Reserve Interest Rate Increase of .25 Brings Benchmark Rate to its Highest Level Since 2007. The Federal Reserve raised short-term interest rates Wednesday by a quarter percentage point, bringing its benchmark rate to a new range of 4.50% and 4.75%, the highest level since October 2007. The central bank acknowledged the slowdown in […]
Income Up, Spending Down, Ahead of Fed Meeting
Personal Income Increased, Spending Drops. Personal income increased $49.5 billion (0.2 percent) in December, according to estimates released today by the Bureau of Economic Analysis. Disposable personal income (DPI) increased $49.2 billion (0.3 percent) and personal consumption expenditures (PCE) decreased $41.6 billion (0.2 percent). The PCE price index increased 0.1 percent. Excluding food and energy, the PCE price index increased […]
Consumer Expectations, Lead to Pull Back in Spending.
The New York Federal Reserve released its monthly Survey of Consumer Expectations for December. The one-year inflation outlook declined to 5%, down 0.2 percentage point from the previous month. The New York Fed’s expectations gauge had hit a record 6.8% in June, amid a surge in inflation. Consumers see inflation easing, but they expect to […]
