The US Federal Reserve’s top banker wants to hold off on hiking interest rates
The Federal Reserve Board of Governors has signaled it is not considering raising interest rates until a new president is elected in 2020, according to a report in The Wall Street Journal.
The Federal Reserve board’s chairman, Ben Bernanke, met with the presidents of the major banks on Tuesday to discuss the economy, but he has not said when he would raise rates, the WSJ reported.
“While the Fed has been preparing for the next presidential election, we have not made a decision on the timing,” the Fed’s president, Jerome Powell, told reporters during a conference call on Wednesday.
Bernanke said the Fed will have “no hard and fast guidance” on when to raise rates.
He said it is possible that the Fed could raise rates this year and the next.
Bernanki said he believes the economy is recovering, but the Fed is also concerned about inflation and job growth.
The Fed’s policy committee is expected to discuss rates at its meeting on November 14.