Sentences with phrase «though fed funds rates»

Though Fed funds rates do not directly control mortgage rates, they are influenced by some of the same factors.

Not exact matches

Though the Fed has been in a slow rate - hiking pace since December 2015 — the December 2017 increase was the fifth in the current cycle — its benchmark funds rate remains targeted at just 1.25 percent to 1.5 percent.

Traders in the fed funds futures market, though, have shifted expectations and now don't expect the next rate hike until at least June.

Though all measures of inflation were coming down as summer turned to fall and the economy clearly was slowing following a July brush with $ 4 - a-gallon gasoline, the FOMC decided to hold the fed funds rate at 2 %, concluding that «the downside risks to growth and the upside risks to inflation are both of significant concern to the committee.»

Thus, even though the Fed has now restored the funds rate to a relatively normal level of 4.5 per cent, world policy interest rates on average remain well below normal.

After the last Federal Open Market Committee meeting, Fed Chairwoman Janet Yellen indicated the rate - setting body was on track to raise the federal - funds rate three times in 2017 and continue on that path next year, even though inflation is well below the Fed's 2 % target rate.

June 16 - 17: Even though the Committee would prefer the fed funds rate to return to a normal 2 - 3 percent range, it seemed more worried about jeopardizing the U.S. recovery by raising rates too soon.

It's the setting of the Fed Funds Rate, though, which is the Fed's most well - known tool.

Back during the 2002 - 2004 era, though rates were low, Fed funds traded in a tight band.

Remember, though, that the Fed funds rate is a very short - term interest rate that does not directly impact long - term rates like mortgage rates.

Even though the Federal Reserve raised the fed funds rate twice in 2016, rates currently are low from a historical viewpoint.

Though some see the Fed hemmed in here, I think that as they reduce the Fed funds rate, they will also reduce the 75 bp fee.

For example, even though the Fed was still holding the funds rate steady in autumn 2016, fixed mortgage rates rose by better than three quarters of a percentage point amid growing economic strength and a change in investor sentiment about future growth and tax policies during the period.

As long as they can maintain the spread between deposit rates and lending rates, they're often willing to change the levels (though you'll notice that there's currently still a wide spread between LIBOR and Fed Funds here).

Now we're starting to see some non-banks — unions, insurance companies and others — raising funds to offer mortgage financing, so I expect to see mortgages become more readily available, though I expect their interest rates will go up, whether the Fed raises rates or not.

This is ironic though b / c the last Fed Funds rate increase strengthened the dollar and paradoxically brought long - term rates lower.