Fed's Bostic Says Households And Homeowners Have Locked In Low Rates, Limiting The Economy's Sensitivity To Fed Policy Rate Hikes
Portfolio Pulse from Benzinga Newsdesk
Federal Reserve's Raphael Bostic stated that households and homeowners have locked in low rates, reducing the economy's sensitivity to Fed policy rate hikes. This was mentioned during a speaking event at Stanford University.
May 23, 2024 | 7:13 pm
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The statement by Fed's Bostic suggests that the economy may not react strongly to future Fed rate hikes due to households and homeowners locking in low rates. This could imply a more stable economic environment, potentially benefiting broad market ETFs like SPY.
Bostic's comments indicate that the economy may be more resilient to rate hikes, which could be seen as a positive signal for broad market ETFs like SPY. Investors might view this as a sign of stability, potentially leading to a short-term positive impact on SPY.
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IMPORTANCE 60
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