Softer Tone from Fed on Interest Rate Hikes

U.S. 10-year Treasury yields climbed from last week’s lows of 2.56 percent to settle at 2.74 percent. And while headline news continues to focus on government funding, border wall negotiations and U.S./China trade talks, the Fed stole some limelight as Chairman Powell seems to be adopting a more dovish approach to raising interest rates, which certainly helps to ease fears. The Fed Chairman also commented about shrinking the Fed’s balance sheet, saying, “it should be smaller.” We’ll be sure to find out more next week when minutes from the central bank’s December meeting are released.

2019-01-11T23:55:06+00:00