Rate Hike

The Federal Reserve hiked interest rates by 25 basis points to a range of 5%-5.25%, as widely anticipated by the market, pushing borrowing costs to the highest level since September 2007. The U.S. central bank also hinted it might be done with the tightening cycle by eliminating a...

U.S. markets closed in the red on Tuesday and are expected to witness significant volatility this week as the Federal Reserve is scheduled to announce its monetary policy on Wednesday. Apart from this, employment figures from the Labor Department, as well as Apple Inc (NASDAQ:AAPL) earnings, will...

Former Treasury Secretary Lawrence Summers said the Federal Reserve was right in going with a 25 basis-points rate hike and it would have been a panic signal if the central bank had decided to pause. "This was the right choice. If the Fed had stopped raising interest rates when it clearly had the...

Goldman Sachs economist Jan Hatzius does not believe there is a case for the Federal Reserve to hike rates at its policy meeting next week owing to "recent stress" in the financial sector, according to a CNBC report. "In light of the stress in the banking system, we no longer expect the FOMC to...

Harvard Professor Jason Furman believes the Federal Reserve is in danger of falling behind the curve again which may increase the cost of reining in inflation. "The Fed doesn’t need to change course at its March meeting — it should stick with the reaction function it set out. Which, in light...

With widespread anticipation that the Federal Reserve will dial down its rate hike pace at its Feb. 1 policy meeting, options traders are reportedly taking bets that will gain if investors scale back expectations of more tightening in the future while also hedging against dovish...

The U.S. Federal Reserve’s decision to hike interest rates by 75 basis points for the fourth consecutive time to combat inflation won't have any repercussions on the cryptocurrencies market, according to experts, who pointed out major market movers including Bitcoin (CRYPTO: BTC...

The founder and CEO of ARK Investment Management Cathie Wood says that there could be a surprise in terms of Federal Reserves’ interest rates not going up as much as the market has priced in. Speaking at the Seedly Personal Finance Festival in Singapore, Wood said, “We do...

Few investors and economists expect the Federal Reserve to raise interest rates in September, but it’s certainly not out of the realm of possibility. A recent Wall Street Journal poll of 62 economists found that 72 percent predict the next U.S. interest rate hike will come in December....

The most recent FOMC minutes painted an unexpectedly hawkish picture, implying that the next Fed rate hike could come as soon as June. Following the release, Richmond Fed Chair Jeffrey Lacker told Bloomberg that he sees a strong case for a June hike and plans on pushing for a total of four hikes by...

Economists say investors can expect another modest rate hike in June. A new Reuters poll of 80 economists found that consensus expectations are for the Fed to perform two more interest rate hikes in 2016, the first coming in June. More than 60 percent of economists polled expect the next rate...

Buckingham Research believes the Fed rate hike is a clear buying opportunity for rate-sensitive stocks. Rate-sensitive stocks are down about 2 percent in 2015. Buckingham believes that the benefits of higher rates will soon lead to upward 2016 EPS revisions. The highly-anticipated...

Morgan Stanley anticipates a 0.25 percent Fed rate hike this week. The firm is more interested in the pace of the rate hikes over time than the date of the first move. Morgan Stanley projects that rates will reach 1.125 percent by the end of 2016. All eyes are on the FOMC this week as...

One of Hillary Clinton’s strongest selling points this election cycle is the strength of the U.S. economy under President Barack Obama. A mistimed Fed rate hike could pull the rug out from under Clinton’s argument that voters should keep a Democrat in the White House. A strong...