Fed expected to hold rates ahead of Sept cut


Welcome news: Powell (left) in an interview with David Rubenstein for The Economic Club in Washington. The Fed chairman is likely to be pressed on the outlook for the next meeting in September, as well as the pace of easing for the rest of this year and next. — AFP

NEW YORK: US Federal Reserve officials are likely to move closer to lowering interest rates from a two-decade high this week by signalling a potential rate cut in September, though they may stop short of providing details beyond that.

The US central bank’s Federal Open Market Committee (FOMC) will keep its benchmark rate in a range of 5.25% to 5.5%, a peak reached a year ago, at the conclusion of its two-day policy meeting, according to economists surveyed by Bloomberg.

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