As Fed taper looms, global central banks eye their own exits from stimulus By Reuters – Investing.com
- Date: 10-Jun-2021
- Source: Investing.com
- Sector:Financial Services
- Country:Middle East
As Fed taper looms, global central banks eye their own exits from stimulus By Reuters – Investing.com
By Leika Kihara, Mfuneko Toyana and Karin Strohecker
TOKYO/JOHANNESBURG/LONDON (Reuters) -Haunted by memories of past U.S. interest rate hikes, the world's central banks are laying the groundwork for a transition to life with less global stimulus, with many countries already signalling moves to the exit.
While the Federal Reserve is publicly committed to keeping interest rates near zero -- and no hikes are priced in until late next year at the earliest -- official comments about inflationary pressures could become a chorus in months ahead, making tapering a more concrete prospect and likely heightening volatility in global financial markets.