Wealth Manager - the site for professional investment managers

Register to get unlimited access to Citywire’s fund manager database. Registration is free and only takes a minute.

Fed points to Q1 2015 rate rise with QE end date

Fed points to Q1 2015 rate rise with QE end date

The Fed will shut down its five-year programme of asset purchases in October the Federal open Market Committee has said, despite ongoing misgivings about the strength of the US economy.

The central bank is currently buying $35 billion in assets every month, having steadily run down its purchases from $80 billion a month from the beginning of this year.

It had not previously been clear whether the Fed would bring this to an end in October or December.

Excluding an unforeseeable external shock, that would put the expected timeline for the first interest rate rise at the end of the first quarter 2015.

The notes also revealed that ‘many’ Fed officials had supported continuing to re-invest income arising from its portfolio of treasuries and other fixed income securities until rates began to rise.

‘If the economy progresses about as the Committee expects, warranting reductions in the pace of purchases at each upcoming meeting, this final reduction would occur following the October meeting,’ said the minutes.

Leave a comment!

Please sign in or register to comment. It is free to register and only takes a minute or two.
Citywire TV
Play Liontrust ESG head says sustainable investment doesn't mean low return

Liontrust ESG head says sustainable investment doesn't mean low return

Peter Michaelis talks about ethical investment growth and where he sees future opportunites.

Play Are platforms the biggest barrier to wealth manager ETF take-up?

Are platforms the biggest barrier to wealth manager ETF take-up?

Citywire hosted a roundtable discussion to find out how and if wealth managers are using ETFs in their clients' portfolios and the challenges they face trading through different platforms.

Play SVM's Veitch on what's next for banks

SVM's Veitch on what's next for banks

SVM fund manager Neil Veitch is finding value in what he describes as unstable financials and talks through his favourite small caps.

Read More
Your Business: Cover Star Club

Profile: Affinity’s Julia Warrander on the importance of diversity

1 Comment Profile: Affinity’s Julia Warrander on the importance of diversity

'Sometimes there are 10, sometimes 20 people around a table and, more often than not, I’m the only woman,' says the Affinity Wealth co-chief investment officer

Wealth Manager on Twitter