The Federal Reserve is leaving interest rates unchanged, for now.
The Fed this week voted to hold its benchmark interest rate between two and two-and-a-quarter percent -- its highest level since April of 2008. The Central Bank mentioned recent volatility in the markets and said they see business investment declining a bit.
Another rate hike is expected next month, though President Donald Trump warns it will slow down the economy.
“Truly that's what it may do,” says Derrick Kinney, a private wealth adviser in Dallas. “But if we continue to see good jobs numbers and continue to see signs that the economy is expanding, good earnings numbers from companies, I'm not too worried about the economy right now.
“The president's concern is that if the Fed continues to raise rates,which is a normal process as the economy expands, it could cause the average consumer to not buy big ticket items like house and cars as interest rates rise.”
Kinney still expects a big holiday spending spree this year.
“What we're seeing right now is the Fed making sure the economy doesn't overheat.”