Fed Minutes Boost the Market

The Fed released the minutes from its last meeting. The Fed has been pretty clear that it intends to hold down interest rates for as long as it can.

At the meeting, the Federal Reserve’s monetary policymaking arm voted to keep short-term borrowing rates anchored near zero and to continue buying at least $120 billion in bonds each months.

In addition, the committee raised its outlook for economic growth and inflation ahead. The median outlook for GDP tin 2021 went to 6.5%, a big upgrade from the 4.2% expectation in the December projections.

Officials also indicated that the unemployment rate could fall to 4.5% by the end of the year and inflation could run to 2.2%, slightly above the Fed’s traditional 2% target.

The market is holding up well and we’re looking at a new all-time high close.

Posted by on April 7th, 2021 at 2:32 pm


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