The Federal Reserve announced another 25-basis point increase in its benchmark interest rate range to 4.75% to 5%, the highest level since 2007.
But though far from the 50 and 75 basis point increases instituted over the last year, this may have been one of the most controversial choices the Federal Open Market Committee has made.
On one side stands inflation. While slowing, it has been persistent, especially in core components. The Producer Price Index has also slowed its growth, but remains high, especially in areas like construction. New jobs have also continued to do better than people have expected. All signs that inflation is not down to where the Fed wants.
Want to continue reading?
Become a Free ALM Digital Reader.
Once you are an ALM Digital Member, you’ll receive:
- Breaking commercial real estate news and analysis, on-site and via our newsletters and custom alerts
- Educational webcasts, white papers, and ebooks from industry thought leaders
- Critical coverage of the property casualty insurance and financial advisory markets on our other ALM sites, PropertyCasualty360 and ThinkAdvisor
Already have an account? Sign In Now
*May exclude premium content© 2024 ALM Global, LLC, All Rights Reserved. Request academic re-use from www.copyright.com. All other uses, submit a request to [email protected]. For more information visit Asset & Logo Licensing.
