2023 Schedule of Fed Meetings: July 25-26 / September 19-20 / October 31-1 / December 12-13
Wednesday 7/26/2023
Federal Reserve raises interest rates to highest since 2001
The Federal Reserve raised the target range for its benchmark interest rate by 0.25% on Wednesday and left the door open for more rate hikes this year.
Wednesday's rate increase brings the Fed's policy rate, the fed funds rate, to a new range of 5.25%-5.50%, the highest level since March 2001.
Wednesday's rate hike marks the central bank's 11th increase since March 2022 and comes after the Fed held rates steady in June. In its statement on Wednesday, the Fed signaled future rate hikes will be contingent on the impact of previous rate hikes on the economy and financial developments. The decision was unanimous.
Reaction 4:06 PM ET Mortgage Bond prices are up on the 5.5% Coupon to 99.58 up 22 bp (When Price is up yields come down)
Monday 7/24/2023
Is the end of tightening near?
It is widely expected that the Fed will announce that they are raising rates by 0.25% on July 26th. 2023. The question is will they signal the end of tightening is near.
Tuesday 6/14/2023
2:10 PM: As expected, the Fed has left the Fed Funds Rate unchanged but has signaled more hikes are coming after this pause. The Fed's 'dot plot', which indicates members expectations for rates further out, showed that the median expectation for rates is 5.6% by the end of 2023.
Monday 6/12/2023
Why the Fed’s rate decision will be a last minute call
The above is a good article that tells us that the Fed’s decision will be a game-time decision based on the CPI and PPI. The markets think that there is a 75% chance that they will pause rates. For more information click on the link above, and check back on Wednesday 6/14/23 after 3pm.
Let me know if you have any questions or if I can help in any way.
Thanks!
John Marbury
Mortgage Banker
Residential Lending
Cell 205-266-5669
600 Luckie Drive Suite 200
Birmingham AL 35223
john.marbury@southstatebank.com
NMLS# 740833
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