Fund manager reaction: Where now for rates after Fed hold?

Global concerns weighed on decision

clock •

Industry commentators have responded to the Fed's 'dovish tone' last night as it decided to keep rates on hold in September, but said a December rise still looks the most likely option.

The Federal Open Market Committee (FOMC) decided not to raise interest rates this month, as global headwinds overshadow a stronger domestic picture. Following its two-day September meeting, the FOMC voted by 9 to 1 to keep rates on hold, in a move anticipated by markets. The Federal Funds Rate has been kept on hold at 0-0.25% since the darkest days of the financial crisis in December 2008. However, the FOMC decided now was not the right time to raise rates as concerns over the impact of a global economic slowdown outweighed a healthier picture for the US domestic market. In a st...

To continue reading this article...

Join Professional Adviser for free

  • Unlimited access to real-time news, industry insights and market intelligence
  • Stay ahead of the curve with spotlights on emerging trends and technologies
  • Receive breaking news stories straight to your inbox in the daily newsletters
  • Make smart business decisions with the latest developments in regulation, investing retirement and protection
  • Members-only access to the editor’s weekly Friday commentary
  • Be the first to hear about our events and awards programmes

Join

 

Already a Professional Adviser member?

Login

More on Economics / Markets