LendingTree chief economist predicts a pause at March 20 – 21 meeting
ByLendingTree chief economist predicts a pause at March 20 – 21 meeting
The next Federal Open Market Committee (FOMC) meeting will take place on Tuesday, March 20 and Wednesday, March 21. LendingTree Chief Economist Jim Svinth forecasts the sixth straight pause in interest rate hikes.
“Despite turbulence in the financial markets related to subprime lending, as well as a flat housing market, the economic numbers point to a continued pause by the FOMC,” said Mr. Svinth.
The Federal Reserve paused at the last five meetings – August 8, September 20, October 24 – 25, December 12 and January 30 – 31 – leaving its federal funds rate at 5.25%.
“With a tight labor market, continued consumer spending and inflation numbers that are still out of the Fed’s comfort zone, I believe all signs point to another meeting with no action. By mid-year, my hunch is we’ll be closer to the Fed really showing its cards,” said Mr. Svinth.