The Federal Reserve is unlikely to raise interest rates in June as expected after Janet Yellen said on Tuesday that it would not hike rates for the next few Federal Open Market Committee meetings, Mesirow Financial’s chief economist told CNBC.
Diana Swonk said the chair of the Fed’s Board of Governors is being careful to avoid another taper tantrum, or an adverse market reaction due to unexpected comments from the central bank.
U.S. bond yields spiked in May 2013 after then Fed Chair Ben Bernanke said the central bank could wind down its monetary easing program by the end of the year.
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