Washington, D.C. (January 4, 2019)—The Job Creators Network agrees with the revised sentiment of the Federal Reserve, which will defer decisions about further raising interest rates until the impacts of previous hikes can be examined.
“We are glad Chairman Powell has considered the concerns about raising interest rates and will be pausing to assess economic conditions before moving forward with more rate hikes this year as was previously implied,” said Alfredo Ortiz, JCN President and CEO. “Increasing interest rates–something we have been advocating against for weeks –will slow down the economic momentum we’ve built up over the past year.”
Altered thoughts around interest rates have been publicized in tandem with a report released by the Labor Department showing that job creation at the end of 2018 exceeded expectations and year-over-year wage growth rose at the fastest rate in a decade.
“Small businesses, which create roughly two-thirds of all new jobs, contributed greatly to the economic performance in December,” continued Ortiz. “There were significant job gains in food service and drinking places as well as retail industries, which are mostly made up of small businesses. Moving forward with certain policies—such as raising interest rates too quickly—will harm these businesses that are currently making tremendous economic strides.”