Fed sets inflation, jobless targets for hiking rates | Bangkok Post: news

News > World

Fed sets inflation, jobless targets for hiking rates

- +

The US Federal Reserve laid out target levels on unemployment and inflation for raising interest rates for the first time Wednesday, surprising analysts who expected such a move would wait until next year. 

Federal Reserve Board Chairman Ben Bernanke speaks in Washington November 27, 2012. The Federal Reserve launched a new bond-buying "QE" program to replace the expiring Operation Twist and set unemployment and inflation triggers for raising its ultra-low interest rates.

In an effort to better signal its policy path, after its benchmark rate has been locked at 0-0.25 percent for four years, the Fed said it would not lift rates as long as the inflation outlook was below 2.5 percent and the jobless rate, now at 7.7 percent, stays above 6.5 percent.

This article is older than 60 days, which we reserve for our premium members only.You can subscribe to our premium member subscription, here.

0 people commented about the above

Readers are urged not to submit comments that may cause legal dispute including slanderous, vulgar or violent language, incorrectly spelt names, discuss moderation action, quotes with no source or anything deemed critical of the monarchy. More information in our terms of use.

Please use our forum for more candid, lengthy, conversational and open discussion between one another.

  • Latest
  • Oldest
  • Most replied to
  • Most liked
  • Most disliked

    Click here to view more comments