US Fed May Raise Interest Rates by 0.5% 美Fed本月恐再升息2碼 市場預期迅升溫

Federal Reserve Chair Jerome Powell on Wednesday reaffirmed his message of higher and potentially faster interest rate hikes, but emphasized that debate was still underway, with a decision hinging on data to be issued before the United States central bank's policy meeting in two weeks. 

The Fed released a hawkish statement a few days ago, suggesting that interest rates may be raised by 0.5 percent for March. As the U.S. Dollar index consolidated, other global currencies have taken a dive. Although the NTD appreciated in the morning of the 9th, it still dropped later during the day, with a low of NT$30.82 to the U.S. Dollar.

Hsieh Chen-yen, Financial Expert: “If there is still net inward remittance of foreign capital, I don't think the Taiwan Dollar will have a large depreciation. It should maintain around this NT$31 mark.”

U.S. stocks stabilized on the 8th after Powell's comments. Although Taiwanese stocks started off strong on the 9th, the TAIEX Index quickly retreated, reaching the lowest intraday mark of 15,783 points. Will the Taiwan Central Bank follow suit and raise interest rates at its board meeting on the 23rd? 

Wu Meng-tao, Director, 6th Research Div., TIER: “It looks like there are strong economic headwinds this year. If the Central Bank raises interest rates, it will definitely depress consumption and investments. I think there is a relatively high possibility the Taiwan Central Bank does not follow and raise interest rates.”

Experts believe that there is a high probability that the Taiwan Central Bank will not follow and raise interest rates due to the country's efforts to shore up its economy. 








專題|改造地獄路 台灣行人路為何難行?