Fed's Yellen speech: As short term interest rates rise, banks will compete for deposits, raise deposit rates
Janet Yellen, Chair of the Board of Governors of the Federal Reserve System, is responding to questions from Congress members with the key quotes, via Reuters, found below:
- Seeing some upward movement of rates on larger certificates of deposit
- As short-term interest rates rise, banks will compete for deposits, raise deposit rates
- Not looked into individual transactions at Deutsche Bank
- Aging population putting downward pressure on labor force participation
Key Notes:
Fed's Yellen testimony: Balance sheet reduction will likely begin this year
In her testimony, Yellen noted that provided the economy evolves broadly as anticipated, the Committee will likely begin to implement the program this year. Read more
EUR/USD spikes, then retreats sharply on Yellen headlines
The EUR/USD pair quickly reversed a knee-jerk fall and spiked over 50-pips from lows following the release of the text of the Fed Chair Janet Yellen's upcoming testimony.Read more
About Janet Yellen
Janet L. Yellen took office as Chair of the Board of Governors of the Federal Reserve System on February 3, 2014, for a four-year term ending February 3, 2018. Dr. Yellen also serves as Chairman of the Federal Open Market Committee, the System's principal monetary policymaking body.
Author
Eren Sengezer
FXStreet
As an economist at heart, Eren Sengezer specializes in the assessment of the short-term and long-term impacts of macroeconomic data, central bank policies and political developments on financial assets.
