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In Money Matters

Federal Reserve sees forthcoming risks in economy

10th October 2019

Federal Reserve sees forthcoming risks in economy Pin It

The Federal Reserve, the umbrella corporation of US central banks, sees more economic risks in the coming months. This is evident from the minutes of the policy meeting in September, which were released on Wednesday.

For example, according to the minutes based on the statistical models, the chance of a recession has increased and concerns about the dragging global trade tensions and geopolitical uncertainties have grown. However, the Fed remains optimistic about American consumers with strong household spending in the United States. However, business investment and exports have weakened, according to the central bank.

The Fed again lowered interest rates last month, following the first interest rate cut in more than ten years in July. The financial markets always scrutinize the minutes of the Fed for possible clues about future monetary policy. The notes also showed that there is a debate within the Fed about when to put an end to interest rate cuts.

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