$ End of the zero interest rate era marketing greatest challenges facing 7 years or
in consideration of the Federal Reserve, and finally on December 17 at 3 o'clock in the morning the end of near-zero interest rate policy and start raising interest rates.
after the end of a two-day policy meeting, the Federal Reserve raised the benchmark federal funds rate by 25 basis points interest rate floating range up to 0.25%-0.5%, the increase is very small, it marks the end of an era of zero interest rates, as well as United States economic health cast a symbolic vote of confidence. This is United States benchmark interest rates since December 2008, for the first time from the "zero interest rate", marking the world's largest economy began to enter the interest rate hike cycle.
times set for the Federal Reserve to raise the federal funds rate, were shelved because of the overflowing incidents. Since fed October on the card Conference yilai, economic data showed that, United States economic keep with mild growth; near several months to of family expenditure and enterprise fixed investment solid climbed, real estate field further improved, but net exports still weak;
series labor market of index further improved, which including employment continued growth and unemployment continued declined, these showed that early yilai labor resources using degrees enough of problem has obviously reduce; inflation still below joint storage 2% of more long-term target, This part and lower energy prices and falling import prices of non-energy related to salary increases based on market indicators are still low, based on a survey of longer-term inflation expectations declined slightly.
throughout the news conference, Yellen, the Fed Chairman has repeatedly stressed that "step by step"-the road to normalization of interest rates will be achieved step by step. United States Prasad, an economics professor at Cornell University (Eswar Prasad) to Caijing reporters that fed this rate hike is widely expected, it is the Fed's monetary policy stance change, which led to resound in global financial markets.
Wall Street economists to Caijing reporters Fed rate hike this time, could mean the market will usher in a more uncertain, some Wall Street investors even believe that this uncertainty is more challenging than at any time since 2008.