Interest Rates

The Federal Open Market Committee decided Sept. 18 to lower its target range for the federal funds rate by 25 basis points, but Federal Reserve Bank of St. Louis CEO James Bullard said more should have been done. What Happened The Fed lowered its target range from 2% to 1.75%, but Bullard wrote in...

Learn how negative interest rates could affect your strategy and investments. The United States has never used negative interest rates, though that may change. In September of 2019, President Trump suggested the Federal Reserve implement them. Negative interest rates are not unheard of as Europe...

JPMorgan Chase & Co. (NYSE: JPM) CEO Jamie Dimon downplayed the likelihood of interest rates hitting zero, but the bank executive is taking steps to prepare for it, CNBC reported Tuesday.  What Happened Dimon said Tuesday at a conference in New York he doesn't believe the U.S. will...

Since the financial crisis that wiped billions of dollars off markets in 2008, capital markets around the world have enjoyed a nice run over the last decade. The stellar economic growth of both developed and emerging regions formed the backdrop for this market performance and investors were left...

On Wednesday, the Federal Reserve reiterated its previous stance that its July interest rate cut was a “midcycle adjustment,” implying the U.S. economy is on stable footing and there is no set schedule for future rate cuts. What Happened? The Fed released its July meeting minutes, and...

The Federal Reserve has "some explaining to do" if it speeds up the pace of interest rate cuts, CNBC quoted Chris Rupkey, chief financial economist at MUFG, as saying in a note. What Happened The Federal Reserve's recent interest rate cut in late July looks "more out of line...

When it comes to interest rates, U.S. investors focus on the Federal Reserve, but the Fed is far from the only central bank that has recently trimmed borrowing costs. Plenty of emerging markets central banks, including the Reserve Bank of India, have been joining the rate cut fun. What Happened On...

The SPDR S&P 500 ETF Trust (NYSE: SPY) is down more than 2% so far in the month of August after President Donald Trump threatened to impose new 10% tariffs on $300 billion worth of Chinese imports not already covered under the existing tariffs. In retaliation, China has halted all purchases of...

Doves seem to be taking flight in global markets, as a surprise half-percent interest rate cut from Reserve Bank of New Zealand has caused upheaval for the currency. Kiwi Dollar futures are getting crushed this morning on the news, with the contract continuing a more than 5% slide downward since...

Investors got the interest rate cut they were expecting from the Federal Reserve on Wednesday, but the market didn’t respond the way many had hoped. The SPDR S&P 500 ETF Trust (NYSE: SPY) finished the day down about 1%, and the S&P 500 closed back under 3,000. StockTwits Buzz The rate...

The markets traded lower on Wednesday after the Federal Reserve lowered interest rates by 0.25%, in-line with economist expectations. Following the Fed announcement, investors must determine how to play the news. There were at least two large trades in the option market on Wednesday that provide...

In a move that was widely expected, the Federal Reserve issued its first 0.25% interest rate cut since 2008 on Wednesday. Despite the cut, the Fed reassured investors that the U.S. economy is solid and the labor market remains strong. “In light of the implications of global developments for...

The iShares MSCI Mexico ETF (NYSE: EWW) is up just 2.65% year to date, well below the returns of the MSCI Emerging Markets Index and the S&P 500. Slumping Mexican stocks could be a sign Latin America's second-largest economy needs some jump-starting. What Happened As has been noted, stocks...

Investors will watch intently as the Fed decides whether to cut interest rates to defend against a feared coming recession. Wall Street broadly expects the Fed to announce a rate cut when it meets July 31. But increasingly, many economists say it may not matter that much what the Fed does. The...

The outlook for the U.S. fed funds rate has made a major shift in the last month alone. A month ago, investors were expecting the Federal Reserve to maintain or raise interest rates this year. Now, investors are betting on an interest rate cut in 2019, and White House advisor Larry Kudlow said...