Auto Loans & Car Financing Blog

Money Minute: Tuesday 14 January

Money Minute: Tuesday 14 January


Good morning and welcome to Money Minute,
where we preview the day’s biggest financial stories. In the US this afternoon, investment banking
giant JP Morgan kicks off fourth-quarter earnings season for the sector. JP Morgan has consistently been a strong performer
and analysts expect that to continue. Fellow banks Citigroup and Wells Fargo also
report their figures. Meanwhile, on the economic front, we get consumer
price inflation for December. Prices for US consumers are expected to have
risen by around 2.3% on last year. That’s a little above the Federal Reserve’s
target of 2%. However, the US central bank has made it clear
that it is comfortable with tolerating a period of above-target inflation. The Fed argues that because inflation has
spent so long below target, they should be willing to allow the economy to run a little
“hot” to make up for it. It’s basically just an excuse to keep interest
rates low. So unless inflation comes in well above expectations,
the market is unlikely to react badly. See you next time!


Leave a Reply

Your email address will not be published. Required fields are marked *