• About Us
  • Authors
  • Currency Charts
  • Live Exchange Rates
  • Contact Us

Exchange Rate Forecast

Exchange rate forecasts and foreign currency news

  • British Sterling
  • Euro
  • US Dollar
  • Australian Dollar
  • Canadian Dollar
  • Brexit News
You are here: Home / US Dollar / Federal Reserve maintain rates but the outlook is Hawkish

Federal Reserve maintain rates but the outlook is Hawkish

September 22, 2016 by Ben Fletcher

Federal Reserve maintain rates but the outlook is Hawkish

Last night the FED held the US interest rate at 0.5% for the 6th time in a row. This decision was largely predicted and a long way from the optimism of a few months ago, with the outlook for a number of rate hikes during 2016. The markets were hardly affected following the news, with the US Dollar seeing no major movements.

This decision heaped further pressure on the FED once again, with domestic conditions appearing to be more balanced and the global situation more controlled. However, with the statement from the Federal Open Market Committee was hawkish suggesting that 2016 could still see a raise in US interest rates, and three members of the 12 FOMC members voting against the decision, economists are suggesting that the FED may be coming to life.

During the Q&A session that followed Janet Yellen (Chairlady of the Federal Reserve) was asked questions about the comments from Donald Trump regarding the FED’s influences. US presidential candidate Trump has previously suggested that the FOMC had been compromised by politics instead of being impartial. Yellen made it very clear that was not the case.

The US Dollar has been strong against the Pound since the UK’s EU Referendum vote resulted in “Brexit”. However, with the US presidential election due this November, there is likely to be increased volatility in the GBP/USD exchange rate.

Filed Under: US Dollar Tagged With: Federal Reserve Bank of America, GBPUSD, Janet Yellen, US interest rate, USDGBP

The information on this website is provided for information purposes only. It does not constitute advice to any person on any matter. Every reasonable effort is made to ensure that the information is accurate and complete but we assume no responsibility for and offer no warranty with regard to the same.

Recent Posts

  • Sterling finds support but unlikely to make any significant impact in the coming days May 9, 2018
  • US Dollar hits 5 month high against Sterling May 2, 2018
  • Sterling exchange rates at the mercy of political developments May 1, 2018
  • Pound weakens as political uncertainty once again raises its head May 1, 2018
  • Will Mario Draghi’s speech impact GBP/EUR? April 26, 2018

Live Exchange Rates

Archives




Copyright © 2021 — Currency.co.uk • All rights reserved. • Exchange Rate Forecasts • Privacy Policy •

We use cookies to ensure that we give you the best experience on our website. By using this site you agree to receiving cookies.I agreeRead Privacy Policy