Fed holds steady. What the heck?

Kai Ryssdal May 9, 2007
HTML EMBED:
COPY

Fed holds steady. What the heck?

Kai Ryssdal May 9, 2007
HTML EMBED:
COPY

KAI RYSSDAL: It’s now seven meetings in a row the Federal Reserve has declined to move interest rates one way or the other. Even as economic growth slows, Gross Domestic Product slumped badly last quarter. The job markets sluggish at best. And inflation’s reasonably tame.

So we got Greg McBride from Bankrate.com on the phone. And asked him, what the heck?

GREG MCBRIDE: We’re just now seeing the effects of last year’s rate hikes. The Fed has wanted ample time to sit back and evaluate fully the impact of those previous rate hikes before they made any moves one way or the other.

Five and a quarter percent’s where the Federal Funds Rate sits. We’ll do the Fed dance all over again come the last week of June.

As a nonprofit news organization, our future depends on listeners like you who believe in the power of public service journalism.

Your investment in Marketplace helps us remain paywall-free and ensures everyone has access to trustworthy, unbiased news and information, regardless of their ability to pay.

Donate today — in any amount — to become a Marketplace Investor. Now more than ever, your commitment makes a difference.

Raise a glass to Marketplace!

Just $7/month gets you a limited edition KaiPA pint glass. Plus bragging rights that you support independent journalism.
Donate today to get yours!