The Fed Isn't Going To Be Able To Cut Interest Rates As Much As It Wants To, Former Treasury Secretary Larry Summers Says

jsor@businessinsider.com (Jennifer Sor), Business Insider
Tue, 09/24/2024 - 9:34am

Federal Reserve Chairman Jerome Powell.Andrew Harnik/Getty ImagesThe Fed probably can't take rates as low as it would like to, according to Larry Summers.Summers pointed to the Fed's target of 2.9% for the so-called neutral rate.But taking the neutral lower than 4% risks reigniting inflation, he said.The Fed doesn't have the wiggle room to cut interest rates as low as it hopes to, according to ex-Treasury Secretary Larry Summers.The top economist issued a word of caution for investors hoping for steep rate cuts from the Fed.

Place your ad here
Loading...

BING NEWS:

The Fed isn't going to be able to cut interest rates as much as it wants to, former Treasury Secretary Larry Summers says
Huge increases in wealth and debt levels prevents the Fed from cutting rates as much as it wants, Larry Summers said.
09/24/2024 - 5:48 am | View Link
The Fed Cut the Interest Rate to Bail Out the Treasury
Lowering rates is a tool to rescue the government. If you make it easy for governments to borrow, they will gladly do it and continue printing currency.
09/24/2024 - 5:00 am | View Link
Economic conditions are 'nearly perfect' and the Fed has engineered a 'miraculous' achievement, Evercore founder says
Economic conditions are "nearly perfect," with only inflation standing in the way of a soft landing, Roger Altman told CNBC> ...
09/23/2024 - 3:54 am | View Link
Summers Sees Fed Rate Projections Upended, Higher Mortgage Rates
Former Treasury Secretary Lawrence Summers said inflation will probably prevent the Federal Reserve from lowering interest rates as much as expected in coming years.
09/19/2024 - 10:00 am | View Link
AI hiring platform Mercor backed by Dorsey, Peter Thiel in $30 million fundraise
Mercor said on Thursday it raised $30 million in a funding round, that included entrepreneur Jack Dorsey and venture capitalist Peter Thiel, putting the AI hiring platform's valuation at $250 million.
09/19/2024 - 3:30 am | View Link
More

More Movie News

More Business News

TikTok removes Russian state media accounts ahead of U.S. election
Fast Company, Tuesday - 09/24/2024 - 10:00 PM
The U. S. Department of Justice has said that Moscow remains the primary threat to elections. TikTok has removed accounts associated with Russian state media for engaging in “covert influence operations” ahead of the U. S. presidential election.
More | Talk | Read It Later | Share
Donald Trump wants to cap credit card interest rates at 10%. Could that work?
Fast Company, Tuesday - 09/24/2024 - 09:30 PM
Americans have more than $1 trillion in credit card debt. Could putting a ceiling on credit card interest rates help? With the 2024 presidential race getting close to the home stretch, both candidates are throwing out ideas about how to handle the economy. Kamala Harris is expected to roll out new economic policy proposals Wednesday.
More | Talk | Read It Later | Share
Caroline Ellison, star witness in FTX crypto fraud trial that put SBF away for 25 years, is sentenced to 2 years in prison
Fast Company, Tuesday - 09/24/2024 - 09:00 PM
Ellison, the former CEO of Alameda Research, was praised for her cooperation in testifying against her former boss and ex-boyfriend Sam Bankman-Fried. Caroline Ellison, a key witness in cryptocurrency mogul Sam Bankman-Fried’s multibillion-dollar fraud trial, was sentenced to two years in prison on Tuesday in U. S. federal court.
More | Talk | Read It Later | Share
Stock market today: New record highs as Nvidia surge offsets weak consumer sentiment
Business Insider, Tuesday - 09/24/2024 - 04:24 PM
Nvidia CEO Jensen Huang. I-Hwa Cheng/AFP/Getty ImagesUS stocks reached new records on Tuesday, led by gains in Nvidia. A weak consumer confidence reading caused indexes to briefly drop early morning. Emerging market stocks notched their highest level in two years on China's stimulus plan. US stocks kept up their winning streak on Tuesday, with indexes pushing higher to new records.
More | Talk | Read It Later | Share
Nvidia stock jumps on report CEO Jensen Huang is done selling shares after $713 million windfall
Business Insider, Tuesday - 09/24/2024 - 04:18 PM
Slaven Vlasic/Getty Images for The New York Times; Chelsea Jia Feng/BINvidia stock closed 4% higher on a report that CEO Jensen Huang is done selling shares. Huang raked in $713 million in total proceeds from the sales. He remains Nvidia's biggest shareholder. Nvidia shares climbed as much as 5% on Tuesday as Barron's reported CEO Jensen Huang is done with planned sales of stock.
More | Talk | Read It Later | Share
I went inside the secret room where pilots sleep on long-haul flights. It was the best seat on the plane.
Business Insider, Tuesday - 09/24/2024 - 04:12 PM
Business Insider's author toured the room where pilots rest on Air New Zealand Boeing 777-300ER planes. Monica Humphries/Business Insider Pilots take shifts on long-haul flights. When they're not flying, they rest in hidden rooms. I toured the secret room stationed above business class on an Air New Zealand Boeing 777-300ER. It was the nicest spot on the aircraft, with two beds, two recliners, and plenty of space.
More | Talk | Read It Later | Share

The Fed Isn't Going To Be Able To Cut Interest Rates As Much As It Wants To, Former Treasury Secretary Larry Summers Says

Welcome to Wopular

MoviesWithButter : Our Sister Site

More Business News