Home Magazine

Fed's Statement

By Homesmsp @HomesMSP

The Federal Open Market Committee meeting was held this week and as expected, they left interest rates alone. 

In the FOMC statement, they said the economy is recovering, but slower than expected.  The Labor markets have been weaker and the Fed believes that is partially due to higher food and energy costs.  Some economic improvements were increased household spending and business investments.

The FOMC also kept their same message regarding inflation.  They acknowledge that there have been inflationary pressures, but that they are related to rising food and energy costs.  They also feel that the supply chain disruption from Japan's tragic events have played a role in the inflation numbers.  They do expect long term inflation to be stable.

The statement released also stated that the Fed planned to end it's quantitative easing plan (QE2) where they had been spending up to $600 billion in the bond markets.  This program was expected to end June 30th.  They also plan to keep interest rates at low levels for an extended period of time.

There weren't any surprises in the Fed's statement.

What all this means to us is that rates should stay low for awhile - but we never know exactly how long and something can happen quickly in the market to change that.  None of us expected rates to be where they are now after the last couple of years.  In December rates started to increase and then last month started dropping again.  If you are thinking about buying or refinancing your home, rates may be at or near the bottom (again!).   We never know if we have hit the bottom until rates start to increase.  With home prices as low as they are and interest rates near the bottom, it is a fantastic time to buy a home!!


You Might Also Like :

Back to Featured Articles on Logo Paperblog

These articles might interest you :

  • The Threat of AI

    Kai-Fu Lee has an important op-ed in the NYTimes, "The Real Threat of Artificial Intelligence". He begins by pointing out that all too many discussions of the... Read more

    The 25 June 2017 by   Bbenzon
    CULTURE, PHILOSOPHY, SOCIETY
  • Does Fitness Equal Health?

    Does fitness equal health? Or is there a point where you increase fitness at the expense of health, or vice versa? Finally, can you use ketosis as a way to... Read more

    The 25 June 2017 by   Dietdoctor
    DIET & WEIGHT, HEALTH, HEALTHY LIVING, MEDICINE
  • Enjoy Summer with a Low-Carb Picnic

    Enjoy Summer with Low-Carb Picnic

    Prepare for a great day out with the help of these great recipes. Fresh, filling and healthy food, perfect for a trip to a nice park or maybe the beach. If... Read more

    The 25 June 2017 by   Dietdoctor
    DIET & WEIGHT, HEALTH, HEALTHY LIVING, MEDICINE
  • Beaches

    Beaches

    ! Sand, sea, warm skin, days of freedom and fun. Your Saturday Blogger has a few favourite places on earth and most of them feature a beach somewhere in the... Read more

    The 25 June 2017 by   Ashleylister
    BOOKS, CREATIVITY, CULTURE, SELF EXPRESSION
  • Review - Hardy & Co. Dewy Skin Anti-Ageing Champagne Mist

    I have been using mist as the first step (after cleansing) of my skincare routine for a few years... Click for Read more

    The 25 June 2017 by   Chantana
    HAIR & BEAUTY, LIFESTYLE
  • Be Jealous Clothing: Gingham Trend

    Jealous Clothing: Gingham Trend

    Jumpsuit-Be Jealous*Sliders-F FThis summer has some really nice trends, my favourite is the gingham trend, I'm absolutely loving this gingham jumpsuit from Be... Read more

    The 25 June 2017 by   Sammycx
    FASHION, LIFESTYLE
  • A Day in the Life of a Low-Carb Doctor

    Life Low-Carb Doctor

    As a hospitalist physician, I have the privilege of caring for general medical patients who are admitted to the hospital. I am certainly an oddity among... Read more

    The 25 June 2017 by   Dietdoctor
    DIET & WEIGHT, HEALTH, HEALTHY LIVING, MEDICINE

Magazines