The Federal Reserve is still aiming to lower interest rates later this year, and for many U.S. households and small businesses those rate cuts can’t come soon enough. But for big companies able to tap the corporate bond market, and for investors riding a rising stock market, relief from the Fed doesn’t seem all that necessary.The Fed on Wednesday left its federal-funds rate target steady at a range of 5.25% to 5.5%, the highest level in more than two decades. But it left in place plans to cut interest rates this year. Fed Chair Jerome Powell again characterized the level of rates as “restrictive,” and said that “it will likely be appropriate to begin dialing back policy restraint at some point this year.”
Source: The Fed’s Conundrum: Interest Rates Are Both Too High—and Too Low – WSJ
