Minutes from the Federal Reserve's December meeting revealed concerns about persistent inflation and the potential impact of future economic policies. The news sent a ripple through markets, raising anxieties about the future economic outlook.
Federal Reserve officials expressed concern that inflation would stubbornly remain above the central bank's 2% target, and over the possible impact of U.S. President-elect Donald Trump's policies. Consequently, officials would be it is investing over £300 million ($369.9 million) to expand its global headquarters. The investment will help it meet growing demand by the ultra-rich, who have lost 0.
48% in Wednesday's trading, putting it close to correction territory, which is typically seen as a 10% drop from a recent high. According to minutes for the Fed's December meeting, officials were worried about inflation and the impact of Trump's stated policies (though Trump was not explicitly named). 'Almost all participants judged that upside risks to the inflation outlook had increased,' the minutes said.'Participants cited recent stronger-than-expected readings on inflation and the likely effects of potential changes in trade and immigration policy.'Upside risks to inflation, problematic policies for the economy and fewer-than-expected rate cuts: That's a potent and bitter brew for investors to swallow. Yield on the 10-year Treasury note hit 4.730% during intraday trading, the highest since April. inflation's stubbornness recently had been driven primarily by'imputed' prices such as housing services, while'observed' prices for other goods and services show disinflation. Waller added that if economic conditions go according to his view, he would'support continuing to cut our policy rate in 2025.' What's not priced in as much is the U.S. jobs report for December, due on Friday. That could be the next catalyst for markets
Federal Reserve Inflation Economy Interest Rates Markets
United States Latest News, United States Headlines
Similar News:You can also read news stories similar to this one that we have collected from other news sources.
U.S. Stocks Finish Higher, Investors Await Jobs Report and Fed MinutesU.S. stocks closed higher on Friday, recovering from a weak start to 2025. The week ahead will be crucial for investors, with the December U.S. jobs report and Federal Open Market Committee (FOMC) minutes set to release. The CES 2025 in Las Vegas also starts this week.
Read more »
Wall Street Rebounds, U.S. Jobs Report and Fed Minutes in Focus This WeekU.S. stocks rebounded after a rough start to the year, but all three major indexes still posted small weekly losses. This week is packed with key economic events, including the U.S. jobs report and the minutes from the Federal Reserve's December meeting. The Consumer Electronics Show (CES) in Las Vegas will also be a focus.
Read more »
US Stocks Close Lower Despite Friday Rally; Key Economic Data and Fed Minutes LoomMajor US stock indexes ended the week in the red, despite a rebound on Friday. The market awaits key economic data releases, including the ISM services index and the December employment report, as well as the minutes from the December FOMC meeting. Citi strategists expect the minutes to reflect a cautious stance by the Fed, but anticipate further rate cuts as inflation cools and the labor market softens.
Read more »
GBP/USD Plunges to Multi-Month Low on Trump Tariff Fears and Fed MinutesThe British Pound (GBP) against the US Dollar (USD) hit a fresh multi-month low below 1.2400 on Wednesday, driven by reports that US President-elect Trump is considering declaring a national economic emergency to impose new tariffs. This news sparked a flight to safety, boosting the USD and pushing US stock index futures into negative territory. The Federal Reserve's minutes from the December policy meeting are also due later in the day, adding to market volatility.
Read more »
Fed Minutes to Reveal Details of December Rate CutThe minutes from the Federal Reserve's December policy meeting will be released on Wednesday, shedding light on the discussions surrounding the 25 basis point interest rate cut. Investors will closely examine the minutes for clues about the Fed's future policy outlook and the potential impact on the US dollar.
Read more »
Fed Minutes Show Division on Rate CutsMinutes from the Federal Reserve's December meeting reveal divisions among policymakers on the pace of interest rate cuts.
Read more »