“Fed Watch: Europe Debt Crisis May Lead to More Cautious FOMC”
“Federal Reserve officials could express more caution about the U.S. economy’s recovery after their meeting this week, giving them additional reason to keep short-term interest rates close to zero for a while.
The three meetings of the Fed’s policy-setting body so far this year have all ended with the U.S. central bank giving a gradually more upbeat view on the economy as it slowly emerged from the abyss. This time could be different.
Since the last Federal Open Market Committee meeting April 27-28, Europe’s debt crisis has led to a decline in U.S. stocks prices and brought a renewed feeling of uncertainty in financial markets. Meanwhile, improvements in the U.S. jobs market have stalled and inflation has continued to slow down from already low levels, a strong sign of the big slack still left in the U.S. economy.” Read more.
“Fed Watch: Europe Debt Crisis May Lead to More Cautious FOMC”
Luca Di Leo
Wall Street Journal, June 22, 2010.
Image by Salvatore Vuono / FreeDigitalPhotos.net
