Most Fed Regional Boards Favored Discount-Rate Rise in September
- Eight boards, up from five, voted for raise to 1% from 0.75%
- St. Louis, San Francisco, Atlanta boards changed position
Ken Langone: Fed Lacks Backbone
This article is for subscribers only.
The boards of directors at eight of the 12 regional banks in the Federal Reserve system voted last month in favor of increasing the rate for direct loans from the Fed to 1 percent from 0.75 percent, according to details released by the U.S. central bank on Tuesday.
Those who favored the increase “viewed a move toward a more normal level as appropriate in light of improvements in economic and labor market conditions, as well as expectations for inflation to begin rising gradually toward its 2 percent objective over the medium term,” the Fed’s September discount rate meetings showed.