Fed Leaves Rate Unchanged Ahead of Trump’s Pick for Chair

The Federal Reserve is holding interest rates steady as President Donald Trump prepares to announce his pick to lead the central bank beginning next year.

The Fed called the economy solid, but noted core inflation remained soft. Policymakers have raised rates twice this year and hinted one more rate hike is likely in December.

"It's a good sign they think the economy is doing well and getting better," says Leonard Raskin, a personal financial strategist and CEO of Raskin Global. "They're looking to take their time and I think December would be just grand."

"From a borrower's standpoint, it gives some comfort to people that maybe they don't have to rush right out and finish that refinance, or they were about to buy that house and make an immediate decision based on the tick up in rates, so I think that's a good thing," he says.

Meanwhile, President Trump has not offered any hints to who he'll pick to lead the Fed, but he did complement current Chairwoman Janet Yellen who is said to be in the running for a second term.

"I think Janet Yellen is excellent," he said, responding to questions about whether she would continue on as chairwoman.

"I didn't say that," Trump explained. "I think she's excellent."

Numerous reports suggest Trump is leaning toward Fed Governor Jerome Powell for the top spot.


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