We federal Reserve policymakers are about to extend their yearlong Campaign Rising interest rates to beat stagnant inflation even as a risk to the US economy Construction
The Federal Open Market Committee is expected to raise the benchmark lending rate target on Wednesday by another quarter percentage point, marking the 10th consecutive increase since March last year. While the efforts of the authorities have helped ease price pressures in the US economy, inflation remains well above its target. At the same time, the first quarter growth data last week pointed to an economy that is slowing down. The monthly jobs report on Friday provided a sense of how labor demand is an important support for the economy.
An estimated 180,000 increase in April payrolls is seen as healthy, although it would mark the third straight month of declining employment growth. The still-tight labor market played a key role in the economic expansion that is increasingly feeling the pinch from tighter Fed policy. Other data on the schedule include March job openings and April surveys of purchasing managers in manufacturing and services.
The Federal Open Market Committee is expected to raise the benchmark lending rate target on Wednesday by another quarter percentage point, marking the 10th consecutive increase since March last year. While the efforts of the authorities have helped ease price pressures in the US economy, inflation remains well above its target. At the same time, the first quarter growth data last week pointed to an economy that is slowing down. The monthly jobs report on Friday provided a sense of how labor demand is an important support for the economy.
An estimated 180,000 increase in April payrolls is seen as healthy, although it would mark the third straight month of declining employment growth. The still-tight labor market played a key role in the economic expansion that is increasingly feeling the pinch from tighter Fed policy. Other data on the schedule include March job openings and April surveys of purchasing managers in manufacturing and services.