Back
10 Apr 2015
Fed: Mid-year rate hike expectations fading away - HSBC
FXStreet (Bali) - June rate hike probabilities are fading away, according to Kevin Logan, Chief US Economist at HSBC.
Key Quotes
"The minutes of the FOMC's March meeting showed that the policymakers were split over the possibility of a rate hike in June. Several members of the FOMC felt that the economic data would warrant a policy lift-off in June."
"Others thought that it would not be appropriate to begin raising rates until later in the year. A split Committee would probably not be able to produce a sufficient majority in June for the important decision to hike the federal funds rate for the first time in six years. Data released since mid-March on job growth, consumer spending and exports, make a June rate hike even less likely, in our view."
Key Quotes
"The minutes of the FOMC's March meeting showed that the policymakers were split over the possibility of a rate hike in June. Several members of the FOMC felt that the economic data would warrant a policy lift-off in June."
"Others thought that it would not be appropriate to begin raising rates until later in the year. A split Committee would probably not be able to produce a sufficient majority in June for the important decision to hike the federal funds rate for the first time in six years. Data released since mid-March on job growth, consumer spending and exports, make a June rate hike even less likely, in our view."