Tue, Mar 19, 2024
A A A
Welcome Guest
Free Trial RSS pod
Get FREE trial access to our award winning publications
Alternative Market Briefing

The Fed could hike interest rates this summer

Thursday, April 09, 2015

amb
Dr. Ana Armstrong
Benedicte Gravrand, Opalesque Geneva:

The US quantitative easing, started in late 2008 and ended in October 2014, is over and the US Federal Reserve is expected to hike interest rates this year. Opinions diverge as to whether this should be done sooner or later.

Trader speculation that the Fed would delay raising interest rates set the stage for new, albeit short-lived, highs in the stock market during the month of March, commented Alex Rabinovich, hedge fund manager and fouder of Chessica Asset Management. Indeed, many in the financial markets worry that once interest rates start to rise, it will mark the end of easy money.

Apparently, following New York Fed president William Dudley’s comment this week, most economists now believe the Fed will continue to keep short-term rates near zero (the current American interest rate FED (base rate) is 0.250 %) until convinced the economy is on firm ground, and wait at least until September instead of moving as early as June. Janet Yellen, the Federal Reserve’s Chairwoman, has said the pace of rate increases is likely to be gradual and cautious.

American interest rate FED - long-term graph Sourc......................

To view our full article Click here

Previous Opalesque Exclusives                                  
Previous Other Voices                                               
Access Alternative Market Briefing

 



  • Top Forwarded
  • Top Tracked
  • Top Searched
  1. KKR raises $6.4bn for the largest pan-Asia infrastructure fund[more]

    Laxman Pai, Opalesque Asia: The New York-based global investment firm KKR has raised a record $6.4bn for its second Asia-focused infrastructure fund, underlining investors' continued appetite for private markets. According to a media release from the alternative assets manager, the figure top

  2. Bucking the trend, top hedge fund makes plans for a second SPAC[more]

    From Institutional Investor: SPACs aren't dead. At least not to the folks at Cormorant Asset Management. The life sciences firm, whose hedge fund topped its peers in 2023, is confident it will match the success of its first blank-check company. Last week, the life sciences and biopharma speciali

  3. Benefit Street Partners closes fifth fund on $4.7 billion[more]

    Bailey McCann, Opalesque New York: Benefit Street Partners has closed its fifth flagship direct lending vehicle, BSP Debt Fund V, with $4.7 billion of investable capital across the strategy. Benefit Street invests primarily in privately originated, floating rate, senior secured loans. The fun

  4. 4 hedge fund themes that are working in 2024[more]

    From The Street: A poor earnings report from Tesla (TSLA) has not hurt the indexes on Thursday. The decline in Tesla stock, which is losing its position in the Magnificent Seven pantheon, is more than offset by strong earnings from IBM (IBM) and ServiceNow (NOW) . In addition, the much higher-t

  5. Opalesque Exclusive: A global macro fund eyes opportunities in bonds[more]

    Bailey McCann, Opalesque New York for New Managers: Munich-based ThirdYear Capital rebounded in 2023, following a tough year for global macro. The firm's flagship ART Global Macro strategy finished the year up 1