Chicago Fed Predicts Rosy 2015
The Federal Reserve Bank of Chicago released a survey today that predicted a growing economy, slightly rising interest rates and eased inflation in 2015. Analysts, bankers and manufacturers contributed to the survey at the Fed's "annual outlook symposium" last week, Reuters reported.
Respondents foresaw the 1-year treasury note climbing from the current 0.11% to 0.47% by 4Q15 and the 10-year yield climbing to 3%. In the face of an improving economy the Fed is widely expected to raise rates in the middle of next year. Unemployment should also decrease next year, falling to 5.6% by the fourth quarter from 5.8% now. Inflation is expected to match up with the Fed's goal of 2% over the next few years.