US FRB 3 consecutive rate cuts suggest a temporary stop October 31 10:34
FRB, the US central bank, has decided to cut interest rates for the third consecutive time to prevent a slowdown in the economy. Suggested. However, the direction of trade friction with China is uncertain, so we will keep a close eye on economic trends.
On the 30th, the FRB decided to lower the policy interest rate by 0.25% in the range of 1.5% to 1.75% to prevent economic slowdown. The rate cut has been three times since the July meeting.
On the other hand, over the monetary policy that has been the focus, the statement will remove the expression of “acting appropriately to maintain the expansion of the economy” that has been included so far, and stop the rate cut once. Suggested.
Mr. Powell, Chairman of the FRB, also said at the press conference that the current monetary policy is appropriate if the future economy expands slowly and employment and prices are in line with the outlook. It was.
However, as for trade friction with China, he said, “There are still many risks,” and he was wary because the future is unclear.
The US economic growth rate announced on the 30th has been slowing down for the second consecutive quarter, and FRB has determined the appropriate response while paying close attention to economic trends such as corporate capital investment, where the decline has become clear. I am going to go.