A US rebound won't budge the Fed's rate expectations

Despite Fed chair Janet Yellen envisaging improved conditions for the US economy this year, there are a couple of reasons why a rate rise is unlikely.

With a cold winter behind it, most indicators suggest that the US economy has rebounded and will grow strongly over 2014. But with significant slack in the labour market and low inflation, the Federal Reserve will leave rates unchanged until 2015.


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