Cullman Mutual Capital Details Fed Leaving Interest Rates Unchanged as Economy Heals


TOKYO, JAPAN, April 30, 2021 / — Tokyo-based asset management company Cullman Mutual Capital has detailed the Federal Reserve chair, Jerome H. Powell, making it clear that his central bank wants to see further healing in the U.S. economy before officials consider reducing its support by slowing government-backed bond purchases and raising interest rates.

“Mr. Powell spoke at a press conference following the Federal Reserve’s announcement that it would keep rates close to zero and continue purchasing bonds at a steady pace, as we expected,” said Steven Perry, Senior Executive Vice President at Cullman Mutual Capital. “He also painted a picture of a recovering economy, aided by vaccinations, government spending and the Fed’s own initiatives,” he added.

Fed officials have indicated that they want to see more progress toward their goals of full employment and stable inflation before reconsidering their cheap-money approach. Officials made it apparent that they see the recent rise in inflation, which is expected to intensify in the coming months, to more likely be short-lived rather than concerning.

Mr. Powell was mindful not to come across as though he and his team understood precisely what the future held. He pointed out that reopening America’s giant economy from pandemic-era shutdowns was a risky undertaking.

“After reaching a low point one year ago, employment is bouncing back, consumers are spending, and the future is looking brighter as vaccines become widely available. Data released on Thursday is expected to show steady improvement in the first three months of this year, which we believe will give way to rapid gains in the next quarter,” concluded Perry.

The Fed has repeatedly stated that it wants to see substantial improvement in economic data, not just expected recovery, before reducing its support. Based on March’s economic projections, Fed officials forecast interest rates near zero until at least 2023.

About Company
Cullman Mutual Capital is a global asset management and institutional financial services business with a proactive attitude that delivers the results our client’s demand. Founded in 2016, we have grown rapidly to 130+ staff, managing over $12 billion (USD) in assets.

Working with diverse clients, including corporations and high-net-worth individuals, we provide high-quality asset and wealth management services for all. Our investments are with some of the largest global financial institutions, hedge funds, mutual funds, alongside other varied investment opportunities.

To find out more about Cullman Mutual Capital, visit our website:

Masayoshi Higuchi
Cullman Mutual Capital
+81 3-4563-8947