2007 Interest Rates Will Remain Steady

What will interest rates do this year?

The Federal Reserve doesn’t seem to be in any hurry on an inflation decision, which means they’ll probably stay flat where they are for now.

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What will [tag-tec]interest rates[/tag-tec] do this year?

 

The [tag-ice]Federal Reserve[/tag-ice] doesn’t seem to be in any hurry on an [tag-self]inflation[/tag-self] decision, which means they’ll probably stay flat where they are for now. 

 

Inflation seems to have stabilized for the moment, but a cautious Fed is taking more time before breathing easier.

 

Our prediction is that the federal funds rate will hold steady at 5.25% . There won’t be any major upheavals up or down.

 

If  Fed Chairman Bernanke feels the economy is heating up a little too much  he’ll possibly raise the rate a quarter-point.   But that will be later in the year, if it happens at all.       

 

 

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