As many have predicted for weeks, the Federal Reserve's Federal Open Market Committee decided to pause rate increases for the first time in 15 months. What that will mean going forward is unclear, but CRE is still seeing an additional rate shock because the Fed isn't the only force in play.
A Fed release stated that the "U.S. banking system is sound and resilient" and point to tighter consumer and business credit conditions that "are likely to weigh on economic activity, hiring, and inflation."
Some observers have been concerned that tight connection between the progression of inflation and the actions the Fed takes are not enough in sync.
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