Skip to main content

Dueling Fed Officials Argue Over Rate Cuts

Phil Hall
Sep 04, 2019
Photo credit: Getty Images/fizkes

The leadership ranks of the Federal Reserve displayed a rare view of the internal tumult that is shaping the debate on whether the central bank should cut rates again.
St. Louis Fed President James Bullard called for a rate cut of half-a-percentage point. In an interview with Reuters, he insisted the Fed needs to stay ahead of financial market expectations for a cut and the unrest created by the state of the global economy.
“We are too high,” Bullard said, adding that the Fed’s target policy rate of between two percent and 2.25 percent was higher than the current yield of all U.S. Treasury securities.
However, Boston Fed President Eric Rosengren–who was one of two dissenters in the July meeting of the central bank’s Federal Open Market Committee that resulted in a rate cut–used a speech before educators and students in Easton, Mass., to insist there was no need for using rate cuts as a tool to offset perceived economic risks.
“As long as we are growing around two percent, I don’t see nearly as much of a need for taking immediate policy action,” he said.
The central bank meets Sept. 17-18 to decide whether to cut rates again or maintain the current rate environment.

Sep 04, 2019
FHA Wants Input On Smaller-Balance Mortgages

Agency seeks industry input as a starting point to encourage greater origination of small-balance mortgages for FHA insurance.

Regulation and Compliance
Oct 05, 2022
Government Lending Has A Strong Digital Future

Long gone are the days of 300-page files and mail requests

Regulation and Compliance
Oct 03, 2022
Appraisal Business Fears Modernizing And Newcomers

Appraisers also need to mitigate appraisal bias

Regulation and Compliance
Oct 03, 2022
R.I. Mortgage Broker Pleads Guilty To $6M Ponzi Scheme

Decade-long scheme was used to finance a lavish lifestyle.

Regulation and Compliance
Sep 30, 2022
Fannie Mae Names Almodovar Its New CEO

Financial services veteran brings more than 30 years experience and a strong commitment to affordable housing.

Regulation and Compliance
Sep 29, 2022
OCC Fines Sterling Bank & Trust $6M Over Mortgage Fraud

Bank, parent company remain under criminal investigation by Justice Department and SEC.

Regulation and Compliance
Sep 27, 2022