Thursday, June 19, 2014 – 11:00 a.m.
Here’s some news flowing across the transom Thursday morning, in case you missed it!
High Desert cities approve budgets
Two High Desert cities have approved balanced budgets, for their 2014-15 fiscal years.
Hesperia approved a $77.9 million spending plan. Victorville set its number at $127 million.
Both budgets provide little cushion or revenue for major expenditures, or a significant safety net, in the event of another downturn.
Federal Reserve cuts bond purchases again
On Wednesday, the Federal Reserve voted to cut its monthly bond-buying program by another $10 billion per month, to $35 billion.
The program, set to end in October, has injected more than $3 trillion into the financial and banking system in ordeer to keep interest rates low, and provide liquidity in the debt markets. The unprecedented action has supported record gains in the stock and real estate markets.
Federal Reserve trims 2014 growth forecast
Also on Wednesday, the Federal Reserve reduced it’s economic growth target for this year.
The Fed cut its Gross Domestic Product (GDP) forecast from 2.8% to 3.0% to a new range of 2.1% to 2.3%.
The 0.7% reduction in the projection is a significant number by any stretch.