FOMC - Closing months of speculation, observation and for the 1st time in the decade, the US Fed Reserve's rate-setting Fed Open Market Committee (FOMC) increased its Fed Funds Rate by 25 basis pts from the 0-0.25 per-cent range to a target of 0.25-0.5 per-cent.
The historical shift, anticipated for over a year, marks the exit of the zero interest rate policy, which had been into place in the wake of the financial crisis of 2008 year. The result comes on the back of some particularly powerfull macroeconomic data emerging out biggest economy of the world:given the backdrop of slow growth world wide, which is showing in the current commodity slump, the worst since the 2008 crisis.
Experts, moreover, say that more than today's rate increase, the Fed's monetary policy course through the next year will be more important -- in that, how many, if any, further rate hikes can be estimated in 2016.
The historical shift, anticipated for over a year, marks the exit of the zero interest rate policy, which had been into place in the wake of the financial crisis of 2008 year. The result comes on the back of some particularly powerfull macroeconomic data emerging out biggest economy of the world:given the backdrop of slow growth world wide, which is showing in the current commodity slump, the worst since the 2008 crisis.
Experts, moreover, say that more than today's rate increase, the Fed's monetary policy course through the next year will be more important -- in that, how many, if any, further rate hikes can be estimated in 2016.
Read : Commodity tips
