Libor break 1%! 2009 first investigation: Fed up to 2 years, the hawks!

Wednesday (4th) in March London dollar interbank offered rate (Libor) broke the 1%, soared from 7.5-year high, reflecting market expectations of accelerated economic growth and a rising inflation, global interest rate rises. United States Federal Reserve (Fed) meeting last month released records also show on the same day, officials expect the next few years United States economic growth accelerated.

Analysts believe this is 2 years, the hawks the Fed message. As global interest rates for $350 trillion of financial products benchmark interest rate on Wednesday by Libor,3 month 0.99872% break 1% mark yesterday, jumped on the 1.00511%, highest since May 1, 2009.

Reuters reported that Eurodollar futures prices suggest that markets expected March US dollar Libor soared on 1.54% by the end of this year, bounced back the peak of December 2008 when the global financial tsunami. The other hand, according to the Fed's December monetary policy meeting minutes on Wednesday, United States Central bankers expected, Donald Trump, under, followed by several years of United States economic growth will be slightly enhanced, but is unlikely to rebound. One reason is that if growth accelerated, Fed will accelerate to raise interest rates.

Many officials also repeatedly stressed that the new Government brings a degree of "uncertainty". Fed meeting minutes also emphasized that a stronger dollar may have on United States economic risks. Messages like poured cold water the dollar rally, the dollar index after hearing news from 14 year highs back down near 0.5%, close below 103 points.

Western Union analysts said Joe Manimbo, Fed minutes long and short message inclusion this time, is likely to limit the dollar's gains, at least in the short term. However, specialized Prattle of the Central Bank's policy direction has pointed out, Fed meeting records show position is 2 years, the hawks.

They use algorithms to the analysis of the wording of the Central Bank, as a basis for judgement of its monetary policy stance as short-, and-from the most liberal to the most tight 2-2 score; and Fed it back to the wording of the published score, from 0.27 points at the December monetary policy statement was released up 0.54 points. Jefferies said Ward McCarthy, chief financial economist for MarketWatch, and Fed on United States economic activity and inflation may exceed its expectations, warning yellow flag waving, "ruochuanpu fiscal policy stimulus effect." This also means that, United States officials do not rule out the speed for the next rate hike, may go beyond the Fed open market Committee (FOMC) currently estimates the number of.