The Fed held at 3.75% to 4.00% with two votes for a hike. Third-quarter GDP grew 3.4% on a 20.9% jump in equipment investment, the saving rate sits at 3.8% and the 10-year yield hit 5.05%. Foreign borrowing is paying for the boom.
Fed Chair Kevin Warsh refused to date the next move after a 10-2 hold, even as markets still priced a high chance of a December hike. Source
The Fed held the funds rate at 3.75% to 4.00% on October 28 by a 10 to 2 vote. Governor Lisa Cook and Cleveland Fed President Beth Hammack wanted a quarter-point hike. The statement described activity expanding at a "strong pace" and inflation as "elevated". Futures still priced a 77% to 86% chance of a hike at the December 8 to 9 meeting, depending on the day, per CME FedWatch via CNBC.
