Yellen says more interest-rate hikes may be on the horizon

Miami /
Feb.February 14, 2017 03:00 PM

From the New York website: More interest-rate hikes may be on the way if inflation keeps rising and labor markets continue to tighten.

Federal Reserve Chair Janet Yellen on Tuesday delivered her first semiannual report on monetary policy since Donald Trump took the Oval Office. She said a rate increase may be on the horizon if employment and inflation continues to follow the central bank’s forecast, Bloomberg reported.

“Waiting too long to remove accommodation would be unwise, potentially requiring the FOMC to eventually raise rates rapidly, which could risk disrupting financial markets and pushing the economy into recession,” Yellen told the Senate Banking Committee on Tuesday.

She didn’t specify when these hikes may be implemented. The central bank said last year that it would most likely raise rates in 2017 in three quarter-point increments. The Fed has only raised rates twice since 2009.

With the departure of Fed Governor Daniel Tarullo, President Donald Trump will have the chance to fill three of the seven Fed Board seats. Yellen didn’t mention financial regulations Tuesday, but the president is currently pushing for reforms to the Dodd-Frank Act. [Bloomberg] — Kathryn Brenzel


Related Articles

arrow_forward_ios
Gil Dezer (Photos by Sonya Revell)
The Closing: Gil Dezer
The Closing: Gil Dezer
Brad Parscale and 2319 Desota Drive (Getty, Google Maps)
Brad Parscale, ex-Trump campaign manager, sells Fort Lauderdale home
Brad Parscale, ex-Trump campaign manager, sells Fort Lauderdale home
Donald Trump with sons Eric and Don Jr. and 1125 South Ocean Boulevard (Getty, Google Maps/Illustration by Alexis Manrodt for The Real Deal)
Trump lists beachfront mansion next to Mar-a-Lago for $49M
Trump lists beachfront mansion next to Mar-a-Lago for $49M
Photo illustration of Donald Trump at Mar-a-Lago (iStock, Getty/Illustration by Kevin Rebong for TRD)
Trump argues to live in Mar-a-Lago — as an employee
Trump argues to live in Mar-a-Lago — as an employee
535 North County Road and Mark Pulte with former President Donald Trump (Google Maps; Pulte Family Foundation; Getty)
Spec home built on Trump’s former Palm Beach property under contract for $140M
Spec home built on Trump’s former Palm Beach property under contract for $140M
Trump Plaza’s condo board votes to remove ex-president’s name from West Palm towers
Trump Plaza’s condo board votes to remove ex-president’s name from West Palm towers
Trump Plaza’s condo board votes to remove ex-president’s name from West Palm towers
Donald Trump Jr. and Kimberly Guilfoyle with 492 & 494 Mariner Drive (Getty, Google Maps)
Jupiter’s Admirals Cove residents speak out against Don Jr. and Kimberly Guilfoyle’s plans to move in
Jupiter’s Admirals Cove residents speak out against Don Jr. and Kimberly Guilfoyle’s plans to move in
535 North County Road (Palm Beach Property Appraiser)
Oceanfront Palm Beach spec mansion hits the market, asking record $140M
Oceanfront Palm Beach spec mansion hits the market, asking record $140M
arrow_forward_ios

The Deal's newsletters give you the latest scoops, fresh headlines, marketing data, and things to know within the industry.

Loading...