Australian Investment Blog

The Fed sends signs that rates are close to rising but Australia?

Last night, the minutes were released of the recent July Federal Reserve meeting with the net result that the S&P500 closed up 0.25%, only 5 points below an all-time high. The main points to catch my eye were:

“The Fed will continue to support the economy amid uneven gains in the labour market”.

“The Fed said if data points move towards their objectives faster than expected then they’ll raise rates sooner than expected”.

The Fed is on track to reduce its bond purchases in October but intends to keep the benchmark interest rate low for a “considerable time” after that.