The Fed has been singularly unsuccessful in cooling down the hot U.S. housing market, primarily because its rate hikes have had little impact on long-term interest rates — so far,
Nariman Behravesh
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The short-term interest-rate level at 4.25 on fed funds provides mortgage rates which definitely won...
KIT JUCKES It was a very strong report. It shows the rate hikes engineered by the Fed so far have had little or...
MIKE RYAN This is a dollar-positive move across the board. It puts perhaps additional interest-rate hikes on t...
GREG SALVAGGIO I think the Fed is going to raise interest rates over the rest of this year. I think it will go up a...
FRANKLIN RAINES Long-term U.S. interest rates have risen as the market has started to price in the likelihood that t...
MASAMICHI KOIKE Those who expect further rate hikes can note that the real Fed Funds rate has yet to reach at least ...
ASHRAF LAIDI The dollar remains firm, as the absolute U.S. interest- rate advantage still continues to exist. Rat...
YUJI SAITO On balance, the steady increase in payrolls in conjunction with yesterday's comments by [Fed] Chairm...
CHARMAINE BUSKAS The interest rates are at its lowest point now because of the economic turmoil. People in the market...
ZENG HAN JUN The whole psychology of the market has changed since the U.S. unemployment figures on Friday. All th...
JAMES SO U.S. interest rates aren't going to necessarily support the dollar anymore. Each interest rate hike ...
DON ALEXANDER Today's inflation figures will reinforce the belief that the Fed only has one or two more interest-r...
PAUL ASHWORTH Bond prices rose because the market was excited at the idea that the number of further rate hikes ne...
CARY LEAHEY As long as the Fed keeps raising rates, yields are going to move higher. The Fed decision definitely...
JOSEPH SHATZ I think it's important from the policy stand point in that if the housing market is cooling down the...
ALEX LI There is growing optimism about the Fed's interest-rate hikes coming to an end. That would mean cons...
HIROFUMI KASAI The hype is off the housing market. Prices are high. Interest rates are climbing. Housing needs to c...
JAY BUTLER The bond market had been worried that we were near full employment and wage pressure would pick up a...
MAURY HARRIS This is in line with our expectation that demand for new housing would 'cool off' towards the end of...
BRIAN BETHUNE We primarily see dollar strength because we're expecting one to two more rate hikes from the Fed. Al...
KATHY LIEN Cooling housing markets will have a negative impact on consumer spending and employment. The dollar ...
YUJI KAMEOKA Market psychology has changed a little bit -- or is beginning to change -- in terms of being a littl...
FELIX BONI The market is closely watching if there are any other comments on the US economy or interest rate hi...
MASAMICHI KOIKE There has been some spotty signs of a cooling in the broader housing market.
JOSEPH ABATE It really comes down to the fact that the Fed is saying demand is excessive, ... Until they see enou...
JOSH STILES Perhaps it's a function of the fears that (Fed Chief Alan) Greenspan has already gone too far (with ...
CLARK YINGST The Fed is toward the end of its rate hikes. Equities and bonds got a bid because the Fed talked abo...
JOSEPH LAVORGNA I think the question the market is struggling with is whether we are concerned about inflation and t...
KEN TOWER The consensus appears to be a likely pause in June as the Fed assesses the effects of past rate hike...
WILLIAM O'DONNELL So far this year, fixed-rate mortgage rates have risen only slightly. Long-term mortgage rates are o...
FRANK NOTHAFT The key number for the Fed was actually the unemployment rate and it went down and has been declinin...
KURT KARL Buying momentum for stocks is shrinking. Overseas investors are pulling their money out of Japanese ...
HAJIME YAGI Earlier in the year when we had a high interest rates, the sentiment was that housing would slow dow...
MARIA FIORINI RAMIREZ The cooling off of the regional housing market can be attributed to a combination of job losses rela...
JIM CUTTER While there are concerns about the slowdown in the U.S. economy, what's keeping investors optimistic...
KOICHI SEKI Acceleration in U.S. growth and rising energy costs will likely translate into higher long-term [int...
AMY CUTTS Acceleration in U.S. growth and rising energy costs will likely translate into higher long-term [int...
AMY CREWS CUTTS As long as the BOJ raises interest rates in tandem with the economic recovery, there should be no ne...
SUSUMU ABE Longer-term rates will not rise dramatically as long as the Fed keeps the short-term policy rate at ...
DAVID KOTOK The market has believed that next year the Fed will ease down while the ECB amps up its rate hike cy...
GREG SALVAGGIO The market is dithering, because on the one hand we have the interest-rate gap, but on the other we ...
FUMIHIKO KAWANO Even though the interest rate rise had been discounted, a half percentage point rise in local intere...
JAMES SO Boy, we've been waiting for this. The feeling is that the market does not need further rate hikes an...
LARRY PERUZZI I see more interest rate hikes and this will dampen domestic consumption. Also, the coming 50 percen...
IRENE CHEUNG My impression is that the market is correctly anticipating that the Fed is close to being finished w...
JASON TRENNERT I am still a little bit bearish. The market thinks the U.S. economy is strong. Treasuries are still ...
HIROYUKI YAMADA The weakness was primarily in the residential area. That's consistent with the other data we've seen...
GARY THAYER We expect no change in interest rates. The market has been factoring in better interest rates for th...
JOE ROONEY Fears of interest rate-related mood swings in the U.S. market have been suspended for now, and that'...
HITOSHI ICHIO Housing activity has peaked and is coming down a bit, and we expect further cooling in the coming mo...
DAVID LEREAH When interest rates rise, the rate gap with the U.S. will narrow and that will provide pressure for ...
JEFFREY TAN The market is looking at other, more important things -- U.S. interest rates, corporate earnings, Ch...
TSUYOSHI SEGAWA The things that helped support the dollar over the last 18 months or so, such as the Fed interest ra...
BRIAN ROSE Rates for long term CDs (terms of 12 months and longer) are typically driven by the activity in the ...
RANDY ROSEN The stock market is poised to take off when the Fed gives a hint of concluding its rate hikes. That'...
BOB SITKO While the US Fed appears to have shortened its commitment to rate hikes by deleting the word 'measur...
KAZUHIRO NISHINA At this juncture that (low long-term rate level) is not an overly worrisome thing, but if (Fed polic...
BRIAN WESBURY At this juncture that (low long-term rate level) is not an overly worrisome thing, but if (Fed polic...
BRIAN WESBURY Last Friday's unexpectedly weak employment report caused interest rates on long-term Treasury bonds ...
AMY CUTTS Last Friday's unexpectedly weak employment report caused interest rates on long-term Treasury bonds ...
AMY CREWS CUTTS The risk is for the ECB to accelerate the pace of interest- rate hikes. There seems to be very littl...
CYRIL BEUZIT Our January forecast calls for a gradual rise in long-term rates throughout 2006. This should induce...
FRANK NOTHAFT Few people thought that he would be that explicit. We're getting closer to the end of the Fed intere...
FREDERIC DICKSON We also see consumer confidence down a little bit. Houses are on the market a little longer. We're n...
BOB MOULTON The market has to make its mind up what the Fed rate cut means.
JANE FOLEY Possibly we could see a little bit of profit taking because investors had been anticipating that whe...
SAM STOVALL If rates move up, housing will move down. But as long as we see relatively low interest rates and em...
GREGORY GIEBER It's unclear when the Fed will stop raising interest rates. Even if the rate hike comes to an end, H...
LOUIS WONG The market is speculating that the Fed may keep going. The interest rate in Canada right now lags be...
STEVE BUTLER If you bought a house at the top of the market with an adjustable-rate mortgage, knowing that long-t...
MARCI ROSSELL To investors, job creation is a second-order effect. Market participants care first about interest r...
AMITY SHLAES The statement fueled market expectations that the Fed will further increase interest rates.
HIROKI SHIMAZU The U.S. economy is very resilient and the Fed will raise rates at least two more times next year. T...
YOSHITAKA MAJIMA The stock market has been anticipating a slowdown because of pressures from interest rates and energ...
RON BARON There have been some expectations in the market that the Fed would perhaps do, instead of three hike...
BRIAN WILLIAMSON The biggest impact in today's trade is coming from the reduced worries about U.S. interest rates see...
JASON HWANG High interest rates have affected car and motorcycle sales. The high interest rate climate has affec...
HENRY HO Long-bond buyers aren't afraid of inflation or increased interest rates, the way short-term bond buy...
BENJAMIN PACE The Fed rate hike and statement has largely been digested by the market.
JEFF YOUNG The overall PMI shows we are still in rate cut territory. But the PMI has been below this (current) ...
CHRIS WILLIAMSON Market players pay keen attention to what those officials may say about future U.S. rate hikes.
AKIHIRO TANAKA A lot of the gains are due to the earnings story. I think the market can deal with one or two more i...
BARRY HYMAN The market is still concerned about the interest rate and whether the Fed is on a possible pause.
IAN STANNARD Since the Reserve Bank of Australia raised rates in March, the housing market has just been going si...
MICHAEL EVERY Monetary policy is like juggling six balls... it is not 'interest rate up, interest rate down....
RAGHURAM RAJAN On balance, the macro outlook continues to point to further rate hikes by the Fed.
CHARMAINE BUSKAS From an interest rate differential standpoint, that is positive for the dollar, but higher rates mig...
HUGH WALSH The market is basically quite quiet. There's some profit-taking after yesterday's surge but overall ...
HERBERT LAU The picture is not altogether clear that we have definitely reached the peak in short-term U.S. inte...
EDWARD MENASHY Judging from recent remarks, Fed officials seem to see the impact from Katrina as one-off and not de...
KAORU KONDO The U.S. dollar is being held firm by short-term rate expectations and until there is some sign of v...
ADAM MYERS We won't see big moves today in anticipation of the FOMC statement. The risk is out there that the F...
DAVID MANN There's no question that the Fed should have much earlier raised interest rates, not to kill the hou...
EDWARD LEAMER The buoyancy of both the housing and mortgage markets indicates that the marked slowdown in the worl...
MARTIN ELLIS The buoyancy of both the housing and mortgage markets indicates that the marked slowdown in the worl...
MARTIN ELLIS The music and movie business has been consistently wrong in its claims that new platforms and channe...
STEVE BLANK The Federal Reserve system has been very much a lucky passenger in this growth, ... It's the bond ma...
BERT ELY Most of the markets in the region are also under selling pressure on fears of rising ( U.S. ) intere...
ALEX TANG The data are consistent with very gradual cooling in the housing market.
JOHN SHIN Overall we're in a very good situation; I don't think interest rates will be going up. Greenspan is ...
GREGORY SMITH