The Fed just did something it has never done before
Chip Somodevilla/Getty Images
The Fed pushed up their expectations for economic growth, dropped their outlook for the unemployment rate ever so slightly, and increased their expected number of rate hikes in 2017 to three from two.
Additionally, the Fed did something it's never done: raise its long-term interest rate outlook.
The median longer-term projection for interest rates is the Fed's estimate of where interest rates will be further than 4 years out from the current year. For the first time since its inception five years ago, the Fed actually increased their long-term projection.
Since the first time the Fed release this projection in 2012, it has been slowly revised down as inflation and growth have undershot expectations. Now, with the Fed seeing stronger inflation coming into the economy and the recent boost to economic growth, the projection for interest rates finally came up.
Andy Kiersz/Business Insider
- In second consecutive week of decline, forex kitty drops $2.28 bn to $640.33 bn
- SBI Life Q4 profit rises 4% to ₹811 crore
- IMD predicts severe heatwave conditions over East, South Peninsular India for next five days
- COVID lockdown-related school disruptions will continue to worsen students’ exam results into the 2030s: study
- India legend Yuvraj Singh named ICC Men's T20 World Cup 2024 ambassador
- JNK India IPO allotment date
- JioCinema New Plans
- Realme Narzo 70 Launched
- Apple Let Loose event
- Elon Musk Apology
- RIL cash flows
- Charlie Munger
- Feedbank IPO allotment
- Tata IPO allotment
- Most generous retirement plans
- Broadcom lays off
- Cibil Score vs Cibil Report
- Birla and Bajaj in top Richest
- Nestle Sept 2023 report
- India Equity Market