The system could have a significant impact in the near future.
CNBC's Jim Cramer said Friday that Federal Reserve Chairman Jerome Powell should admit he was wrong to increase interest rates so aggressively last year, as the U.S.-China trade dispute was escalating, economic growth was starting to cool and the stock market was tanking. Powell should acknowledge the mistake and change course, Cramer said. "Why can't the Fed chief say, 'You know what? I was wrong.' It turns out there's a once-in-a-lifetime opportunity ... to be able to make it so the Chinese have to play fair," said Cramer. "Look, sometimes what you have to do is you say you're wrong. I have said, for instance, I'm wrong on certain stocks." Cramer's comments come less than two weeks before the Fed's next meeting. The central bank is expected to cut rates later this month for the second time this year. Another quarter-point reduction in borrowing costs is the prevailing forecast among economists. The Fed in July cut rates for the first time..
Pro-Brexit protesters demonstrating in central London.Steve Taylor | SOPA Images | Getty ImagesBritain's intensifying political meltdown has thrust the country into the midst of an economic "disaster," according to a Nobel Prize-winning economist. British Prime Minister Boris Johnson is currently under immense pressure to deliver Brexit, with 55 days to go before the world's fifth-largest economy is scheduled to leave the European Union. It remains a deeply divisive issue in the U.K., more than three years after a small but clear majority voted to leave the bloc. Ahead of the October 31 Brexit deadline, the country appears poised for range of options, including a snap election, a so-called "no-deal" Brexit scenario and possibly even abandoning the whole process altogether. "What is happening is a disaster for the economy, looking at it from a purely economic point of view," Christopher Pissarides, a professor of economics at the London School of Economics (LSE), told CNBC..
A person wearing a Boris Johnson 'head' digs a grave at the foot of a tombstone during a protest organised by Avaaz and Best for Britain, outside Downing Street in London.Stefan Rousseau - PA Images | PA Images | Getty ImagesLabour and other U.K. opposition parties have agreed to defy British Prime Minister Boris Johnson's demand for a general election before the EU summit on October 17, according to multiple media reports. The opposition parties said Friday that they planned to vote against or abstain in Monday's vote on whether to hold a snap vote. The announcement comes at a time when Johnson is under immense pressure to deliver Brexit, with 55 days to go before the world's fifth-largest economy is scheduled to leave the European Union. It remains a deeply divisive issue in the U.K., more than three years after a small but clear majority voted to leave the bloc. Ahead of the October 31 Brexit deadline, the country appears poised for a range of options, inclu..
Italy's Prime Minister Giuseppe Conte reviews the guard of honour at Chigi palace in Rome, Italy, June 1, 2018.Alessandro Bianchi | ReutersItaly's 67th government since World War II now has a unique opportunity to invest in and grow the country as borrowing costs have dropped to such low levels, according to a former finance minister. Pier Carlo Padoan, a member of the Democratic Party (PD), told CNBC's Steve Sedgwick that the new government now had to grasp this unique environment in the country's sovereign debt markets. "The boost of having this new government coming from financial markets — the spread has fallen down to unprecedented levels and the interest rate is historically low — so there are very good starting conditions," he said at the Ambrosetti Forum in Italy Friday. "It's up to the government now to transform this nice opportunity into a reality. And there is an ambitious program which is a medium-term program. This is good and it's giving a n..
Boris Johnson during the launch of his campaign to become leader of the Conservative and Unionist Party and Prime Minister at the Royal Academy of Engineering in central London.Stefan Rousseau - PA Images | PA Images | Getty ImagesBoris Johnson campaigned to become leader of the Conservative Party — and by default, prime minister — on a promise that he would unify his party, and indeed the entire United Kingdom, after years of fractious wrangling over the country's membership of the European Union. Instead this week his aggressive strategy on Brexit, and to some extent his personal behavior, has divided his party's lawmakers more than ever. At the start of the week, one of them defected to an opposition party in clear view of the British leader, as he stood to address the legislature's lower chamber, the House of Commons. On Wednesday night, the prime minister's office stripped 21 others of the party's parliamentary support after they voted against the governme..