The fed expects four rate increase in 2018 instead of the three

© AP Photo / Carolyn KasterГерб of the Federal reserve system of the United States. Archival photoThe fed expects four rate increase in 2018 instead of the three© AP Photo / Carolyn Kaster

Most members of the open market Committee of the Federal reserve system (FRS) according to the results of the June meeting forecast four to increase the base rate in 2018 (subject to increase at the meetings in March and June), to the average level of 2.375%, follows from the economic Outlook of the regulator.

Thus, the fed raised the March forecast for the number of bets increases in 2018. Then the regulator is expected three increase.

The U.S. Federal reserve following the meeting on March 12-13, raised the benchmark interest rate by 0.25 percentage points to 1.75-2% per annum. According to the graph dot plot (the prediction of the dynamics of the bet), seven representatives of the regulator expect that the rate in 2018 will be increased to the average level of 2.375%. Five representatives predict a rate increase to the average level in 2,125%. One representative believes that the rate should be raised to 2,625%.

In 2019, most members of the fed expect a rate hike by three times, to the average level in 3,125%. In 2020 it is expected the rate hike to the level of average 3,375%. In the long run, the fed expects the rate at 3%.

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