Fed to resume asset purchases to avoid fresh money market turmoil

  • 📰 BDliveSA
  • ⏱ Reading Time:
  • 37 sec. here
  • 2 min. at publisher
  • 📊 Quality Score:
  • News: 18%
  • Publisher: 63%

Canada News News

Federal Reserve chair Jerome Powell says the move is not a return to crisis-era quantitative easing programmes

Federal Reserve chair Jerome Powell speaks at a meeting in Denver, Colorado, the US, October 8 2019. Picture: DANIEL BRENNER/BLOOMBERG

He suggested that the purchases would be made up of Treasury bills and stressed the buying should not be seen as a return of the crisis-era quantitative easing programmes that the Fed engaged in a decade ago to boost the economy. Three-month bill yields fell on the comments, while US stocks pared losses and the dollar was higher.

But he added, “we will act as appropriate to support continued growth, a strong job market, and inflation moving back to our symmetric 2% objective”. The job market has also downshifted, even as unemployment has fallen to a half-century low of 3.5%. Nonfarm payrolls grew by an average of 157,000 per month in the third quarter, compared with gains above 200,000 earlier in the expansion.

 

Thank you for your comment. Your comment will be published after being reviewed.
Please try again later.
We have summarized this news so that you can read it quickly. If you are interested in the news, you can read the full text here. Read more:

 /  🏆 12. in CA

Canada Canada Latest News, Canada Canada Headlines

Similar News:You can also read news stories similar to this one that we have collected from other news sources.

Asian stocks swoon on signs of prolonged US-China standoffUS Treasury yield curve steepens on continent after US Federal Reserve chair Jerome Powell signals further interest rate cuts and the resumption of bond purchases
Source: BDliveSA - 🏆 12. / 63 Read more »