Business Daily

BBC World Service

News & Politics

The daily drama of money and work from the BBC.


Fed Hikes Rates, World Reacts

December 17th, 2015

Episode 417 of 836 episodes

We consider the Federal Reserve interest rates hike - 25 basis points up after some seven years of being virtually zero. It's been hailed as an historic step, the end of a low interest rate era. But what difference will it make to Americans and to the rest of the world? We get a range of reactions from emerging markets experts such as emerging market investor Jerome Booth, former IMF chief economist Simon Johnson, as well as Frederic Neumann - the head of Asian economics at HSBC in Hong Kong. So far the markets have seemed enthusiastic, but could the end of cheap money yet lead to unforeseen turbulence? (Picture: A trader at the New York Stock Exchange looks up as the Federal Reserve's rate rise is broadcast; Credit: Spencer Platt/Getty Images)

Featured Podcast