It is nearly certain that the fourth rate hike of 2018 will come in the next Federal Reserve meeting on December 19, NEARLY is the key word. According to meeting minutes from the last session, experts believe there is roughly a 75 percent chance that the Fed will raise interest rates by 0.25 percent following their meeting later this week. Along with the expected rate hike, the meeting will also provide an updated look at the possibility of rate increases in the future.
Although most traders believe that the Fed will raise the rate by a quarter point; amid anxiety about the strength of the economy and slowed growth, many believe that the Fed will change their rate hike forecast for 2019. Be sure to discuss debt positions, debt servicing, and potential business sale considerations with your UHY Advisor in one of our many locations. The new tax law has certain limitations on interest deductibility that may affect highly leveraged businesses.