San Francisco Fed President Mary C. Daly gave an interview to CNBC television today in which she commented on the situation in the US:
- According to Daly, interest rates in the range of 4.75%-5.25% seem appropriate. Holding off future rate hike isn't an option for now;
- Daly will be 'rooting' for an effective slowdown in the economy and forecasts an unemployment rate of 4.5%-5%. She indicated that the Fed really wants to see a slowdown;
- Global conditions remain a drag on US economic growth. Daly signaled that even if and Fed holds rates, monetary policy is tightening as inflation falls;
- San Francisco Fed chief maintains September forecast of 5% as final interest rate level;
- Slower inflation and a stronger labor market are positive; the Fed needs even more such readings. Core CPI goods inflation and PPI data turned out to be positive, of course;
- Consumers are preparing for a slowing economy and are taking a step back, which is a good start though still holding strong
US500 chart, M5 interval. The key US index is testing a key short-term resistance level near 3970 points today. Source: xStation5
Start investing today or test a free demo
Open account Try demo Download mobile app Download mobile appThis content has been created by XTB S.A. This service is provided by XTB S.A., with its registered office in Warsaw, at Prosta 67, 00-838 Warsaw, Poland, entered in the register of entrepreneurs of the National Court Register (Krajowy Rejestr Sądowy) conducted by District Court for the Capital City of Warsaw, XII Commercial Division of the National Court Register under KRS number 0000217580, REGON number 015803782 and Tax Identification Number (NIP) 527-24-43-955, with the fully paid up share capital in the amount of PLN 5.869.181,75. XTB S.A. conducts brokerage activities on the basis of the license granted by Polish Securities and Exchange Commission on 8th November 2005 No. DDM-M-4021-57-1/2005 and is supervised by Polish Supervision Authority.
