Jim Caron, head of macro strategies for global fixed income at Morgan Stanley Investment Management, warns of potential volatility in the market due to potential misinterpretations of Powell’s comments. Investors will be closely monitoring Powell’s outlook on the economy, with economists forecasting a potential recession and the Fed projecting slow growth and a rise in … Read more
The Federal Reserve is predicted to increase interest rates by a quarter of a percentage point and also likely indicate that it will continue to remain cautious in its efforts to combat inflation, even as it decreases the magnitude of its hikes. On Wednesday at 2 PM ET, the Fed will announce its latest rate … Read more
Inflation slowed for a sixth-straight month in December, data out Thursday showed. This downtrend in price increases suggests that, at last, the Federal Reserve’s inflation-fighting interest rate hikes seem to be working. But this tool likely won’t be enough to bring inflation down to levels consistent with the Fed’s 2% target. At least not in the … Read more
At a forum discussing central bank independence, Federal Reserve Chairman Jerome Powell emphasized the necessity for the central bank to operate independently from political influence as it addresses persistent inflation. In his speech delivered to Sweden’s Riksbank, Chairman Powell stated, “Price stability serves as the foundation for a robust economy and offers immeasurable benefits to … Read more
WASHINGTON – Federal Reserve Chairman Jerome Powell confirmed Wednesday that smaller interest rate increases are likely ahead even as he sees progress in the fight against inflation as largely inadequate. Echoing recent statements from other central bank officials and comments at the November Fed meeting, Powell said he sees the central bank in position to … Read more
Inflation in August was stronger than expected despite the Federal Reserve’s efforts to bring down prices, according to data Friday that the central bank follows closely. The personal consumption expenditures price index excluding food and energy rose 0.6% for the month after being flat in July. That was faster than the 0.5% Dow Jones estimate … Read more
Argentina’s government has left its beautiful country in financial ruin. July’s inflation report surpassed 60% with no signs of slowing. The problem with socialism is that they eventually run out of other people’s money. The government was spending $6 million daily on social programs, but the poverty rate continues to rise. Around 57% of the working … Read more
Something’s Gotta Give at the Fed TL/DR “Inflation has to stabilize higher than 2%, unemployment must baseline above 5%, or GDP must go significantly lower. Something has to give.” Questions were asked about the rationale for several recent posts and opinions. Here are the top 3 of those answered in conjunction with a little context. … Read more
Inflation hit hard at the wholesale level in June, as producer prices surged a near-record amount from a year ago due to a big jump in energy costs, the Bureau of Labor Statistics reported Thursday. The producer price index, a measure of the prices received for final demand products, increased 11.3% from a year ago, … Read more
Shoppers paid sharply higher prices for a variety of goods in June as inflation kept its hold on a slowing U.S. economy, the Bureau of Labor Statistics reported Wednesday. The consumer price index, a broad measure of everyday goods and services, soared 9.1% from a year ago, above the 8.8% Dow Jones estimate. That marked another month … Read more
