Fed Officials May Be Forced To Boost Rates Faster Than Originally Forecast

Federal Reserve officials may be forced to increase the pace of interest rate hikes this year in response to the impact of expected fiscal stimulus from President-elect Donald Trump, the December minutes suggest.

Minutes from the Dec. 13-14 meeting were released today, revealing most officials worry future fiscal policies will spur faster growth than originally forecast, requiring quicker action. Most committee officials reiterated the need for gradual movement over the next few years.

The Fed moved interest rates a quarter percent last month, the first move central bankers have made since December 2015, and as Trump’s Jan. 20 inauguration fast approaches, experts are anticipating increased infrastructure spending, tax cuts and deregulation as promised by the president-elect to boost the economy over the next several years. [Bloomberg]

Continue reading this story with a free account

Log in or register
Sign up for more articles like this
Subscribe to Bisnow's National Newsletters
Related Stories

Soaring Yields Strand REITs In M&A No-Man’s-Land

How UK Investment Giant L&G Plans To Grow Its U.S. Multifamily Holdings

Properties Owned By REIT Accused Of Fraud To Be Auctioned Off

LS Power Raises $6B To Capitalize On Data Center Power Demand

DHS Buys 3 More Detention Facilities From The Geo Group For $950M

CRE Finance Sentiment Index Falls To 3-Year Low As Economic Fears Mount

Oprah-Backed Health Food Chain Files For Bankruptcy, Seeks To Exit Leases

Fund Affiliated With Michael Dell Takes $1B Swing At Senior Housing

Multifamily's Days As Commercial Real Estate's 'Golden Child' Are Over

Denver Construction Costs On The Rise, Surpass National Increases

Real Estate Fundraising Shrinks, Targets Get Smaller

Structural Design Decisions Can Box Owners In. The Right Partner Can Help Them Make More Informed Decisions