WASHINGTON - Federal Reserve officials are meeting this week for the first time under their new chairman, Jerome Powell, whose news conference to follow is stirring high anticipation.
The Fed is set to announce its first interest rate increase of the year, a testament to the continued strength of the economy and of the job market in particular. The central bank raised rates modestly three times in 2017 under Powell's predecessor, Janet Yellen, whom he succeeded last month. Over time, a rise in the Fed's benchmark rate tends to cause many consumer and business loan rates, including mortgages, to rise as well.
Once its meeting ends at 2 p.m. Eastern time Wednesday, the Fed will issue a policy statement and update its economic projections before Powell begins taking questions from reporters.
The Fed is set to announce its first interest rate increase of the year, a testament to the continued strength of the economy and of the job market in particular. The central bank raised rates modestly three times in 2017 under Powell's predecessor, Janet Yellen, whom he succeeded last month. Over time, a rise in the Fed's benchmark rate tends to cause many consumer and business loan rates, including mortgages, to rise as well.
Once its meeting ends at 2 p.m. Eastern time Wednesday, the Fed will issue a policy statement and update its economic projections before Powell begins taking questions from reporters.