Christine Lagarde, head of the European Central Bank (ECB), stated that ECB policymakers are considering lowering interest rates in the June 2024 meeting. Lagarde also stated that forecasting bank actions beyond that date was impossible until they received additional data on inflation and union wage negotiations.
Tag: economic stimulus
Sorry, Fed, Most US Mortgage Rates Were Locked In During Pandemic Lows (Macro News for March 18, 2023 – March 24, 2023)
If the Federal Reserve wants to slow economic activity by raising U.S. mortgage rates, it may be out of luck. More than 40 percent of all mortgages were originated in 2020 and 2021 when interest rates were at historic lows. While higher interest rates will impact new borrowers, it will not impact the payments on those home loans with 30-year rates hovering around 3 per cent. In contrast, new mortgages are priced in the 7 percent range.
Democrats’ Cornerstone Climate Policy Will Likely be Cut from Sweeping Economic Package (Macro News for October 16, 2021 – October 22, 2021)
The massive spending package currently being debated in the nation's capital will likely not contain the Clean Electricity Performance Program (CEPP) pushed by progressive members of the Democratic party. One holdout, Senator Joe Manchin of West Virginia, is concerned about the cost and whether taxpayer dollars should be used to subsidize private firms.
Larry Summers Sends Stark Inflation Warning to Joe Biden (Macro News for May 29, 2021 – June 4, 2021)
Larry Summers, former economic advisor to Presidents Clinton and Obama, expressed concern that continued fiscal and monetary stimulus would push inflation much higher. Summers recently stated, “I think policy is rather overdoing it.” He went on to express concern about the “sense of serenity and complacency” of economic policymakers.
Pearson Economic News 