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Dallas, KC asked for discount rate hike in August

By   || September 7, 2010 at 18:07 GMT
|| 2 comments || Add comment

Ahead of the August FOMC meeting, the Dallas and Kansas City Feds each asked for the discount rate to be hiked to 1% to normalize the primary credit rate, according to the discount meeting minutes. The same two districts asked for a hike back in July as well.

The news has no policy impact as the Fed funds, not the discount rate, is the Fed’s primary tool.

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2 Responses to “Dallas, KC asked for discount rate hike in August”

  1. Dennis on September 7th, 2010 18:41 GMT

    very true jc but a discount rate hike would be a shot across the bow to the mkts

  2. Jamie Coleman on September 7th, 2010 19:01 GMT

    Lasted less than a day when they did it in Feb…Not a signal they want to send at this point, that’s for sure…

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