Fed Sets Course for Milder Interest-Rate Rise in February

MARKET MOVERS

• Fed sets course for milder interest-rate rise in February. In recent public statements and interviews, Fed officials have said slowing the pace of rate increases to a more traditional quarter percentage point* would give them more time to assess the impact of their increases so far as they determine where to stop. The Fed is gaining more confidence inflation will ease further this year.

• GM and LG scrap plans to partner on fourth U.S. battery factory. Plans for a fourth GM-LG factory were scratched* in part because LG Energy executives in Korea were hesitant to commit to the project given the rapid pace of LG’s recent U.S. investments. GM is in discussions with at least one other battery supplier to proceed with an additional U.S. battery-cell factory.