Fed Done Hiking Rates But Not Cutting Yet; Borrowing Costs Soar As Economy Remains Resilient
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Economists believe the Fed is done hiking interest rates this year after aggressive tightening. But most don't foresee cuts until mid-2024.
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Fed Chair Powell indicated the central bank is still not confident it has tamed inflation down to 2% goal.
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Borrowing costs have soared over last 2 years from 0.5% to 5.5% for Fed benchmark rate.
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Mortgages, credit cards, auto loans much more expensive, but economy still resilient.
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Savers should see higher interest yields on savings accounts, though lagging Fed hikes.