Monday, 6 June 2016

Yellen: Economy improving but timing of rate hike is unclear

WASHINGTON (AP) — Federal Reserve Chair Janet Yellen indicated Monday that the U.S. economy is improving but remains defined by so many uncertainties that it's unclear when the Fed should resume raising interest rates.Speaking in Philadelphia, Yellen struck a mainly positive and optimistic tone about the economy. She noted that the job market had strengthened significantly since the Great Recession and said that consumer spending and economic growth seem likely to accelerate after a tepid start to 2016.But the Fed chair suggested that a dismal jobs report that the government issued Friday had raised some doubts about the broader economy. She referred repeatedly to the uncertainties surrounding the Fed's outlook.In doing so, Yellen dropped a reference she had made in a speech May 27 that a Fed rate hike would likely be appropriate "in the coming months." In its place, she offered no specific timetable for the Fed to act.Yellen's speech had been highly anticipated given that it co

No comments:

Post a Comment