- US: GDP & Corporate Profits (Q4, 3rd release)
- Canada: Industrial Products & Raw Material Prices (Feb)
- Spain: Flash HICP and CPI, Construction Business Survey Press (Mar)
- Euro area: EC Business and Consumer Surveys (Mar)
- Belize: GDP (Q4)
- Chile: IP (Feb); Brazil: Retail Trade - Rebased 2014=100 (Jan)
- Croatia: Employment, Retail Trade Press (Feb), Earnings (Jan); Bulgaria: PPI (Feb); Montenegro: Wages (Feb); Latvia: Retail Trade (Jan); Lithuania: External Debt Service (Q4);
- more updates...
Economy in Brief
U.S. Initial Claims for Unemployment Insurance Ease
Initial jobless insurance applications fell to 258,000 (-3.1% y/y) during the week ended March 25...
U.S. Pending Home Sales Jump
The NAR reported that pending home sales increased 5.5% in February to an index level of 112.3...
U.S. Mortgage Loan Applications Remain Little Changed; Variable Rate Apps Surge
The MBA total Mortgage Market Volume Index slipped 0.8% last week (-12.4% y/y)...
La Dolce Vita? Italian Confidence Bumps Higher
Italian business and consumer confidence moved higher in March...
U.S. Consumer Confidence Improves Significantly
The Conference Board Consumer Confidence Index for March strengthened 8.2% (30.7% y/y) to 125.6...
U.S. Energy Product Prices Remain Under Pressure
Regular gasoline prices held steady at $2.32 per gallon last week (12.1% y/y) for the third straight week...
by Tom Moeller March 16, 2016
At today's meeting of the Federal Open Market Committee, the Fed funds rate was left unchanged in the range of 0.25% - 0.50%. The Fed again emphasized that "global economic and financial developments continue to pose risks." It also stated, "In light of the current shortfall of inflation from 2 percent, the Committee will carefully monitor actual and progress toward its inflation goal."
Looking forward, the Fed again indicated that "the federal funds rate is likely to remain, for some time, below levels that are expected to prevail in the longer run."
Updated economic projections foresaw GDP growth of 2.2% this year, then 2.1% in 2017 and 2.0% in 2018. These figures were scaled back from 2.4%, 2.2% and 2.0%, respectively. "Core" PCE price inflation of 1.6% this year, then 1.8% in 2017 and 2.0% in 2018 compared to 1.6%, 1.9% and 2.0%. The unemployment rate forecast for 2017 was pared to 4.6% from 4.7%, and for 2018 it was reduced to 4.5% from 4.7%.
The press release for today's FOMC meeting can be found here.
The economic backdrop today's to today's meeting contained a February decline in the Fed's Labor Market Conditions Index, as well as an upturn in growth in the "core" PCE price index.
Haver's SURVEYS database contains the economic projections from the Federal Reserve Board.
|Federal Funds Rate, % (Target)||0.25-0.50||0.00-0.25||0.09||0.11||0.14||0.10|