federal open market committee

Fiscal Cliff Tax Worries May Drive Stock Sell-Off

Investors typically sell stocks to cut their losses at year end. But worries about the "fiscal cliff" -- and the possibility of higher taxes in 2013 -- may act as the greatest incentive to sell both winners and losers by Dec. 31.

What Will the Fed Do With So-So Results?

The recent stream of modestly positive economic reports means the Fed probably won't take any further action to stimulate the economy at its meeting on Tuesday. But nobody is calling the economy healthy yet, and the debate over what the Fed should do next has the FOMC deeply divided.

Fed Faces Big Dilemma Amid Weak Economy

When the Federal Reserve ends a two-day meeting today, most economists will be looking for hints about when interest rates may start to move higher. But the Fed may have a more serious problem: what to do about deflation when rates can't go any lower.

Bernanke Reviews Stimulus Exit Plans

Anyone hoping the Fed chairman would tip his hand on when the central bank might start tightening again was disappointed. But Bernanke did have news for investors, and that came in communicating the methods the Fed will likely use to tighten its monetary policy, including hiking rates paid to banks on reserves they keep at the Fed.

Why a Change in the Fed's Rate Policy Would Sting

There's speculation the Fed may shift its benchmark interest rate to the rate paid on bank reserves from the overnight rate it charges banks. The change could result in higher interest rates for many loans, and especially most credit cards that are now variable and reset based on the ups and downs of the prime rate.

Fed Minutes Reveal Stimulus Disagreement

Federal Reserve officials who gathered last month agreed the economy appears solidly on its way to recovery and gaining momentum, minutes from the meeting reveal. But records show some members disagreed over the need for continuing and future stimulus.