Mark P. Barnett, Jr., CPA, CVA, CGMA, CCIFP, MBA’s Post

What could March’s inflation numbers mean for the Federal Reserve’s thinking? Our latest Weekly Brief looks at the likely outlook for US interest rates.  https://lnkd.in/eEDB66WD #marketinsights #inflation #monetarypolicy

"US inflation dropped to 2.5% in August, creating an opportunity for the Federal Reserve to lower interest rates at its next meeting. According to a Reuters poll, the Fed is likely to reduce rates by a small amount (0.25%) at each of its three remaining meetings in 2024. Only a few experts expect a larger cut next week. With inflation getting closer to the Fed's goal of 2%, this is an important moment ahead of the September 18th decision. 💡 Why are interest rates important? Interest rates impact how much it costs to borrow money. When rates go down, 💼 businesses and 🏡 individuals can borrow more cheaply, which can lead to more spending and investment, helping the economy grow 📈. 🔻 But what about savings and investments? Lower rates mean 💰 savings accounts may earn less interest, which can affect people relying on their savings for income. On the flip side, lower rates often drive 📊 stock prices and other investments higher as people seek better returns elsewhere." (Note: For full details, please visit the original article on FT.com.)

The Federal Reserve is willing to cut interest rates before reaching the 2% target. The question then becomes: What conditions must take hold for the Fed to cut interest rates in September? Is it the reaching of a short-term target en route to 2%? Or is it the overall trajectory of the inflation rate? See the Fed Chair’s response.

The Federal Reserve announced on Wednesday that it is holding interest rates steady at 5.25% to 5.5%, their highest level in two decades, as inflation continues to dog the US economy. Though some had hoped the Fed would soon cut interest rates, which are at their highest level since 2007, the annual rate of inflation has stubbornly remained above 3%. The Fed’s target rate is 2%. #usd #fed #interestrates #economy #inflation #news #updates

This is great news! The next Federal Reserve interest rate announcement is exactly one week away, on Sept 18th. The Fed is now more likely to begin lowering rates, with a potential 25-basis-point cut on the table, as inflation continues to moderate and economic indicators show signs of slowing growth. Q4 might shape up to be stronger than expected! #ecommerce #feds #interestrates

The Federal Reserve has left its key interest rate unchanged at between 5.25% and 5.5% ¹. The Fed has sought to slow inflation by keeping interest rates elevated ¹. At year start, about 9 in 10 economists had forecast that the Fed would cut its benchmark rate at its May 1 meeting ².

US inflation drops to 3.4% 📉 in April. US inflation fell to 3.4% in April, down from 3.5% the previous month, fuelling bets on interest rate cuts by the Federal Reserve later this year. Lindsay James. Michael Brown. Check out Sorin-Andrei Dojan's latest article👇 https://incm.pub/3wBDDu9 #investing #assetmanagement #wealthmanagement #finance

Today's inflation report showed continued moderation last month, likely removing the final hurdle for the Federal Reserve to cut interest rates in September. Read our full analysis here: https://bit.ly/3YPzlex

The Federal Reserve began its rate-hiking cycle two and a half years ago in March 2022. Pandemic-induced stimulus and supply/demand imbalances led to once-in-a-generation inflation, and the Fed’s answer was to hike interest rates at 11 consecutive meetings from near zero to 5% in just over a year: https://bit.ly/4he0j63

Consumer prices rose by 0.2% in July, in line with forecasters’ expectations and bringing the year-on-year inflation rate to +2.9%, the lowest since 2021. So, what's this mean? 1️⃣ This likely removes the final hurdle for the Fed to cut rates 2️⃣ I anticipate the Fed will begin rate cuts in September. What to watch: ◾ Fed Chair Powell's speech late next week from Jackson Hole, WY 🤠 ◾ Next Fed rate decision is September 18th