“My guess is the Fed would look through a temporary increase in inflation caused by an increase in tariffs,” English said. “Inflation expectations are well-anchored.”
Related: Fixed-Income ETFs to Watch After Fed’s Policy Decision
One thing is for certain–U.S. President Donald Trump will offer his opinion on the Fed’s decision regarding interest rates regardless if they continue to rise, fall or stay static. The president already may have influenced the latest Fed decision to keep rates unchanged when he voiced his displeasure about rising rates to CNBC in an interview.
“I’m not thrilled,” said Trump. “Because we go up and every time you go up they want to raise rates again. I don’t really — I am not happy about it. But at the same time I’m letting them do what they feel is best.”
“But I don’t like all of this work that goes into doing what we’re doing.”
For more rising rates trends, visit the Rising Rates Channel.