The Business Times
MARK TO MARKET
·
SUBSCRIBERS

Fed won’t let up until investors get a lot more nervous

Monetary policy decisions translate to slower economic growth through their effect on financial market conditions

Ben Paul

Ben Paul

Published Mon, Sep 26, 2022 · 05:50 AM
    • FOMC participants are now projecting US gross domestic product growth of just 0.2 per cent for 2022, and 1.2 per cent for 2023.
    • FOMC participants are now projecting US gross domestic product growth of just 0.2 per cent for 2022, and 1.2 per cent for 2023. PHOTO: BT FILE

    WHEN the US Federal Open Market Committee (FOMC) statement was released on Wednesday (Sep 21), there was a brief spike in the benchmark S&P 500 index.

    A week earlier, unexpectedly strong US inflation data had some market watchers fearing the US federal funds rate might be raised by 100 basis points. Instead, the FOMC opted for a 75-basis-point hike – for the third time in a row.

    The respite didn’t last long, though. The S&P 500 ended Sep 21 in the red, and tumbled even lower over the rest of the week.

    BT CorrespondentsUS Federal ReserveInflationGlobal equitiesSingapore equities

    Copyright SPH Media. All rights reserved.

    Reuse this contentFeedback
    Latest T-bills Treasury Bills Results & Interest NewsLatest SSB Singapore Savings Bonds NewsLatest COE Certificate of Entitlement News
    Latest Johor-Singapore SEZ NewsLatest BTO Build To Order & Sales of Balance NewsLatest STI Straits Times Index NewsLatest SGX Dividends, Share Price NewsLatest Bonds Market NewsLatest Singapore Stocks To Buy NewsLatest Singapore Economy News
    View More