Interest Rates May Rise


Officials from the U.S. Central Bank signaled that it will raise the interest rates in December. If the economy stays on course, it will likely raise the benchmark interest rate for the first time in almost a decade. In September, Janet Yellen, Chair of the Board of Governors of the Federal Reserve System, said the global economic slowdown was holding back the economy of the U.S. and of many other countries. Many investors question is that how long will the rates stay so low or if the increase will even take place at all, even though Yellen testified before a congressional committee saying that it was very possible for the increase to take place. Many economists think that all credibility of the Central Bank would be damaged if the rates do not rise in December.