According to a report by the Wall Street Journal, some Federal Reserve officials began expressing their desire to slow the pace of increases soon with indications of plans to agree to a lower increase than expected in December.
In this context, Federal Reserve officials stated that the next phase of their effort to control inflation will involve debating the amount of interest rates and the appropriate time for them to slow down.
Mary Dali, the president of the Federal Reserve Bank in San Francisco, advised those in charge of monetary policy to begin making plans to cut back on interest rates, but she emphasised that the time has not yet come for complete cessation.
“The data has not cooperated with us so far to reduce the pace of interest, we may raise the interest by 75 basis points in the November meeting as the markets are currently expecting, but I recommend that investors not take the idea of raising the interest at this pace as a foregone matter from it In the upcoming meetings. ”
the president of the St. Louis Federal Reserve
Louis, James Pollard, stressed the necessity to continue tightening monetary policy while predicting that this topic would be brought up during the Federal Reserve meeting in November.
According to Bloomberg, Dali believes that reducing the pace of interest to 50 basis points or 25 basis points will be an appropriate matter, with the interest rate approaching the final level approaching.
The US Federal Reserve is largely expected to increase interest rates by 75 basis points at its meeting in November, especially given the fact that inflation is still significantly higher than the Fed’s goal rate.
It is noteworthy that the US Federal Reserve raised the interest 5 times since the beginning of this year, to reach a range of 3 percent and 3. 25 percent, compared to a level near zero last March.
According to Mary Dali, predictions for next year’s high interest rate, which is expected to reach a peak of 5% before momentarily slowing down, are still a reliable indicator of how things are actually shaping up.
When will the American federal government start reducing interest rates frequently?
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