Today at 2:30 Eastern time, Jerome Powell, the head of the Federal Open Market Committee (FOMC) will make the decision to hold to his earlier promise of raising rates a tiny .25% and more importantly signal possible future rate increases…
The New Normal
By looking at this multi-decade chart below, it is easy to see that rates are no where near their highs…
After being low so long, the new normal may be lower – market participants seem to think/want so …
From our perch, the best outcome today would be a raise once and “check the data” statement …
We will know in a few hours- do not forget, there are skeleton crews on much of Wall Street – making for a possible sloppy response….
Have a Great “New Normal Rate” Day!
John A. Kvale CFA, CFP