Commodities Forex News & Analysis

Next Up at the Fed: Quantitative Tightening

The Federal Reserve will likely raise interest rates later this year, and foreign central bank policies may compel it to sell off Treasury and mortgage-backed securities-reversing Quantitative Easing. Historically, the Fed raises interest rates on Treasury securities and corporate and personal borrowing by pushing up the federal funds rate-the overnight rate banks pay for ready [...]

Jobs Market Won’t Compel Fed to Raise Rates

The Federal Reserve has opened the door to raising interest rates as early as June but contrary to policymakers’ expectations, the pace of jobs creation is likely to weaken. This will frustrate hawks and keep a lid on rates banks charge for consumer loans and mortgages. By historic standards, jobs creation is not that strong. [...]

Strong Dollar, Sluggish Growth Weighs Against Fed Raising Rates

Federal Reserve policymakers are meeting to consider whether to open the door to raising interest rates as early as June. Falling unemployment favors higher rates but inflation remains well below the Fed target of 2 percent. More importantly, other factors could persuade the Fed to be more patient about raising rates than Wall Street or [...]

Stagnant Productivity, Sluggish Growth Abroad Weigh Against Fed Raising Rates

The Federal Reserve economic policy committee meets next week to consider whether to open the door to raising interest rates in June. Falling unemployment favors higher rates but weighing in the opposite direction, inflation remains well below the Fed target of 2 percent. More importantly, other factors could persuade policymakers to remain a bit more [...]

Strong Jobs Market Won’t Compel the Fed to Raise Interest Rates

The job market has improved, but only momentarily, and it won’t force the Federal Reserve to raise interest rates in June. That should keep a lid on rates banks charge for consumer loans and mortgages. By historic standards, jobs creation is not that strong. Unemployment hit 10 percent in October 2009, and the recent recovery [...]

Supreme Court Should Nix Obamacare Subsidies, Instigate Reform

The Supreme Court could improve American health care by striking down federal subsidies offered through HealthCare.com-the federal exchange that sells insurance in states without government-run marketplaces. Most Americans never wanted the Affordable Care Act. A recent Gallop poll found 56 percent disapprove of the law, and more than 30 states either have not set up [...]

Five things to Know about the Fed Raising Interest Rates

Since 2008, the Federal Reserve has been giving banks virtually free money by keeping their short term borrowing rates near zero. This week, Chairwoman Yellen indicated the Fed is getting even more optimistic about the economy and inflation and further indicated it will end that policy as early as July. The Fed will likely act [...]

Moderate Muslims, Obama Failing to Fight Terrorist

Fighting racism, prejudice and the violence those can beget is everyone’s job. Muslims would do well to respond to President Obama’s invitation to combat extremist ideas in their communities, but too often Washington’s broader policies toward minorities encourage just the opposite. Ideologies of love and hate have a lot in common. Those appeal to youth [...]

Congress Shouldn’t Trust Obama to Negotiate Trade Deals

Free trade is undermining American prosperity, and Congress should deny President Obama authority to negotiate new deals in Asia and with the European Union. Reducing tariffs and other barriers to international commerce should increase both imports and exports, and move Americans from lower wage jobs, such as assembling iPhones, to higher paying employment, such as [...]

Greek Default Will Discredit Angela Merkel

Greece will soon default on its sovereign debt and mercifully, loosen Germany’s grip on European economic policy. Greece owes €240 billion ($272) billion. In 2011, a bailout imposed a haircut on private creditors and shifted most of Greece’s sovereign debt to the Troika-European Union member governments (principally Germany and France), the International Monetary Fund and [...]

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