Global Daily: TechnoFEDalism

The US Federal Reserve’s rate setting committee left the Fed Funds rate unchanged at 3.50-3.75% with the Statement noting that “economic activity has been expanding at a solid pace...the unemployment rate has shown some signs of stabilization. Inflation remains somewhat elevated.” The decision was taken by a 10-2 vote, with Trump appointee Stephen Miran and Fed Chair hopeful Christopher Waller both dissenting in favour of a 25bp cut. The Bank of Canada, also meeting to set policy rates, similarly opted to keep rates unchanged at 2.25%.