EUR/USD
1.18050
0.280%
Gold
5205.12
1.205%
Oil
65.600
-0.644%
USD/JPY
156.339
0.283%
GBP/USD
1.35509
0.464%
GBP/JPY
211.859
0.760%
Real-time News
On February 26th, Federal Reserve Chairman Schmid stated on Wednesday that excessive inflation remains a key issue the Fed needs to address, but he did not specify how monetary policy should respond. Schmid said, "I think we still have work to do on inflation," while adding, "I think the employment situation is quite good." He did not explain how these factors influence his assessment of the monetary policy outlook. Schmid had previously expressed skepticism about the Feds rate cuts last year, when officials lowered the target interest rate range to 3.5% to 3.75%. Markets expect further rate cuts this year, but officials have provided little guidance. Schmid also discussed the Feds balance sheet, saying internal discussions focused on understanding the appropriate level of reserves needed for the financial system. He pointed out that the large amount of mortgage-backed securities held by the Fed in its past bond-buying activities continues to depress home borrowing costs. Given the current size of the Feds mortgage-backed securities holdings, mortgage rates "may be 75 to 100 basis points lower than they would have been."The Iranian Foreign Ministry confirmed that the Iranian delegation and foreign minister have arrived in Geneva.Federal Reserves Mossallem: Lowering inflation to the target level will help boost consumption and economic growth, and could reduce the 10-year Treasury yield.Federal Reserve Chairman Mussalem: Completing the task of curbing inflation is crucial.Federal Reserves Mossallem: The government shutdown could cause CPI to shift downwards and could continue into April; PCE inflation is a better measure.
