As expected, the US Federal Reserve nudged interest rates higher on Wednesday by a quarter of a percent. The move was largely factored into global stock prices, and although US and Asian markets rallied on the news, there were no fireworks.
The US president has nominated Jerome Powell as the new chair of the central bank. While Trump wants low rates to boost growth and the stock markets, he knows that what Wall Street values most is safe hands.
The US central bank's first female chief is planning to step down from it's governing board. Janet Yellen said in a letter to President Trump that she was "gratified" to leave with the US on firmer financial footing.
The US central bank keeps moving cautiously toward a third interest rate hike — possibly in December — as it has left current rates unchanged amid efforts to balance a strong US economy with stubbornly low inflation.
Under pressure from fresh allegations against his campaign team, US President Donald Trump is preparing to announce Fed governor Jerome Powell as his choice to replace Janet Yellen at the head of the central bank.
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