Chief Correspondent, Hong Kong
Michael's Feed
Jan 28, 2015

Fed upbeat on U.S. economy despite global turmoil

WASHINGTON, Jan 28 (Reuters) – The Federal Reserve on
Wednesday said the U.S. economy was expanding “at a solid pace”
as it largely looked through weakness overseas in a signal that
it remains on track to raise interest rates later this year.

The U.S. central bank repeated it would be “patient” in
deciding when to raise benchmark borrowing costs from zero,
where they have been stuck since late-2008.

Jan 28, 2015

Fed keeps patient approach to hiking rates despite global turmoil

WASHINGTON, (Reuters) – The Federal Reserve on Wednesday repeated that it will remain “patient” in deciding when to raise interest rates, and said the U.S. economy is on track despite turmoil in other markets around the world.

Concluding their first policy-setting meeting of the year,

Fed officials looked past the urgent moves made by other central

banks this month to boost their struggling economies and saw

continued economic expansion in the United States.

“The committee judges that it can be patient in beginning to normalize the stance of monetary policy,” the Fed’s policy statement said.

Jan 28, 2015

Senator Rand Paul re-introduces ‘Audit the Fed’ bill

WASHINGTON (Reuters) – Republican Senator Rand Paul, a potential 2016 presidential candidate, on Wednesday re-introduced a bill that would expose the Federal Reserve’s monetary policy discussions and decisions to a congressional audit.

The Kentucky senator’s move to re-introduce the bill, along with 30 co-sponsors, comes as Republican lawmakers and some Democrats increase their efforts to rein in the U.S. central bank and make it more transparent.

Jan 28, 2015

U.S. Senator Rand Paul re-introduces “Audit the Fed” bill

WASHINGTON, Jan 28 (Reuters) – Republican Senator Rand Paul,
a potential 2016 presidential candidate, on Wednesday
re-introduced a bill that would expose the Federal Reserve’s
monetary policy discussions and decisions to a congressional
audit.

The Kentucky senator’s move to re-introduce the bill, along
with 30 co-sponsors, comes as Republican lawmakers and some
Democrats increase their efforts to rein in the U.S. central
bank and make it more transparent.

Jan 28, 2015

Fed seen remaining patient with rate guidance amid global turmoil

WASHINGTON, Jan 28 (Reuters) – The Federal Reserve is
expected to signal it remains on track to begin raising interest
rates later this year, as the central bank shows confidence that
low inflation and rising risks from abroad have yet to derail
the U.S. economic recovery.

The Fed’s first two-day policy meeting of the year concludes
on Wednesday, and policymakers will likely restate their
“patient” approach to raising rates, while also voicing faith
that the economy will continue improving.

Jan 26, 2015

Federal Reserve nominee reports up to $40.1 mln in personal assets

WASHINGTON, Jan 26 (Reuters) – Federal Reserve nominee Allan
Landon has up to $40.1 million worth of personal assets,
according to government disclosure forms obtained by Reuters,
which would make him one of the wealthiest Fed governors if
confirmed to the post.

The White House put Landon’s name forward earlier this month
to fill one of the two empty Fed governor seats, touting the
former Bank of Hawaii chief executive officer’s
experience in the community banking industry.

Jan 23, 2015

Fed’s solo act gets tougher with ECB, others in stimulus mode

WASHINGTON (Reuters) – Federal Reserve policymakers, already struggling to assure investors that they remain on track for a mid-year interest rate rise, will find the task has just become harder with their peers in Europe and elsewhere headed in the opposite direction.

The swelling ranks of central banks cutting rates and ramping up stimulus make it more difficult and riskier for the Fed to proceed with plans to end crisis-era policies, according to Fed analysts and former staffers.

Jan 16, 2015

Federal Reserve to launch community advisory council

WASHINGTON (Reuters) – The U.S. Federal Reserve said Friday it will establish a community advisory council of 15 citizens to meet regularly with central bank officials for a broad conversation on the state of the economy.

The move comes as the Fed is pressured by labor and low-income groups arguing for continued low interest rates. Fed Chair Janet Yellen and other Fed officials have met with these groups from late last year to hear their concerns, a departure from the practice of previous central bank leaders.

Jan 13, 2015

MetLife could further complicate Fed’s new role as insurance cop

WASHINGTON (Reuters) – The Federal Reserve’s new role as the top U.S. insurance regulator will be in the spotlight this week as MetLife decides whether to challenge tougher oversight by the central bank in court.

The Fed would face months of scrutiny of its fledgling oversight of the sector if MetLife sues regulators over their decision to tag it as a firm that has the potential to destabilize the wider financial system.

Jan 12, 2015

Cutting ‘patient’ from Fed guidance should signal hike near: Lacker

WASHINGTON (Reuters) – The Federal Reserve should stop talking about the need for a “patient” interest rate policy just before it thinks it will begin hiking rates, a top Fed policymaker said on Monday.

Richmond Federal Bank President Jeffrey Lacker said in an interview with Reuters that the Fed’s guidance in December that it would be patient with raising rates harkened back to a strategy employed in 2004.

    • About Michael

      "In June 2009, Michael Flaherty became a Chief Correspondent for Reuters News, leading a team of journalists who cover investment banking, mergers & acquisitions, private equity and hedge funds, equity capital markets, natural resources and property across Asia. He arrived in Hong Kong in Feb. 2008 as Reuters' Asia Financial Services correspondent, covering the investment banks and M&A. Flaherty was hired by Reuters in New York in Dec. 2003. He was voted Reuters Journalist of the Year for his 2007 coverage of the U.S. private equity boom and bust. He started at Reuters with the consumer group covering office retailers ..."
      Joined Reuters:
      Dec. 1, 2003
      Awards:
      Peninsula Press Club, 2002, Reuters Journalist of the Year, 2007, M&A International, 2007
    • Contact Michael

    • Follow Michael