When will the Fed stop raising rates?



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Recent statements by Morgan Stanley and Frontiers on Societe Generale have signaled the rise in Fed interest rates in the first half of next year.

The comments of the Fed presidents, who gave different messages last week, were confused.

The words of Fed Chairman Powell, who will make statements tomorrow, as well as the minutes of the Fed's previous meeting, which will be released on Thursday, could shed some light on the extent of concerns about the Fed. 39, American economy. In that sense, we will be closely monitored.

In general, we find that the possibility of a slowdown has begun to be debated on expectations of interest rate increases.

Morgan Stanley, vice president of the Asia-Pacific region, Gokul Laroia, in the interview granted to CNBC, the Fed will carry out two further interest rate hikes, before getting ready.

Laroia said that interest rate hikes halted by the Fed in 2019 would have a positive impact on Asia, and that the dollar is about to enter the bear market.

They are expecting a rise in interest rates in December, followed by an increase in interest rates in early 2019. After these two increases, Laroia said it 's worthwhile. expect the Fed to stop raising rates and that the future depends on US growth and economic indicators.

It's hard to say how difficult it will be, but I'm pretty cautious for next year when it comes to how difficult it will be next year.

Societe Generale said it expects a rate hike in December. During the next six months, during the first half of 2019, two further interest rate increases could be observed and discontinued.

The note said that Fed officials had suspended the rate hike in the United States.

By 2019, we will probably move closer to the end of the rate hike cycle, "and it was pointed out that the US economy was likely to enter recession in the first half of 2020.

Societe Generale's strategists said that with the improvement in employment in 2019, higher wages would reduce the company's profit margins and lead to a slowing of the economy.

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Last update: 2:04 p.m.November 27, 2018

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