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Fed, Economists and Investors Show Rare Harmony on Rate Outlook

Bloomberg survey shows economists expect three hikes in 2017
Risks to GDP and inflation outlook seen weighted to the upside

Bloomberg business news — Jobs Report Sets Stage for Expected Fed Rate Hike

By

Christopher Condon and

Catarina Saraiva

March 13, 2017, 4:00 AM UTCUpdated onMarch 13, 2017, 12:30 PM UTC

A year ago, the Federal Reserve was forced to back away from its earlier projection for four interest-rate increases in 2016. This year, everyone’s coming around to the Fed’s view.

A Bloomberg survey of 45 economists conducted on March 7-8 produced a median estimate for three quarter-point hikes in 2017, with moves expected in March, June and December. That’s up from two hikes that respondents predicted in a survey in February and now matches the median number of increases that Fed policy makers forecast in December.