High interest rates apparently discouraged many RV dealers from ordering Class A motorhomes during the last few months, so the industry breathed a sigh of relief when the Federal Reserve decided not to raise interest rates on Wednesday.
But the next question is: will the Fed decide to raise rates when it meets again on Aug. 22?
A reading of the Fed’s news release issued Wednesday suggests another rate increase is possible in two months.
“Signs that growth in demand is moving to a sustainable pace are still tentative and preliminary, and the utilization of the pool of available workers remains at an unusually high level,” the Fed wrote in the statement issued Wednesday.
“In these circumstances, and against the background of its long-term goals of price stability and sustainable economic growth and of the information currently available, the (Federal Open Market) Committee believes the risks continue to be weighed mainly toward conditions that may generate heightened inflation pressures in the foreseeable future.”