By Karl Smith The US Federal Reserve is widely expected to raise interest rates by at least 25 basis points next week. And if inflation remains high, the Fed is “prepared to raise it higher than that” in the coming months, central bank Chairman Jerome Powell said last week. That would be a mistake. After […]
Tag: Fed
Oil prices fall, but there is still anxiety
Oil prices sank in the international market this Wednesday, after four consecutive sessions of gains due to the war in ukraine. The inapplicability of an embargo on Russian oil in the European Union, the diplomatic opening to resolve the war conflict and a request to increase the production of crude oil from the United Arab […]
Impending Bond Curve Inversion US Recession Alert
The world’s largest bond market is signaling that the risk of a US recession is rising, even before the Federal Reserve raises interest rates. The Treasury yield curve has collapsed to near inversion, a situation in which short-term rates exceed longer-term rates, which has often preceded a recession. The development intensified just ahead of next […]
Mr. BRIC: Fighting inflation must be a high priority for Brazil
Jim O’Neill, the prominent economist who coined the well-known acronym BRIC to refer to the biggest emerging markets, urges Brazil to fight inflation, while warning that the Federal Reserve should be cautious in its tightening. With the Ukraine war spurring a rebound in oil prices, the former Goldman Sachs Group Inc. economist said fighting inflation […]
Fed: impact of Russian invasion on US economy is uncertain, but could affect spending and investment
Russia’s invasion of Ukraine could affect the US economy through a variety of channels, from rising prices to declining spending and investment, the president of the Federal Reserve (Fed), Jerome Powell, although it is not clear what the final impact will be. “What we know so far is that commodity prices have risen significantly, energy […]
U.S. Businesses Hit by Inflation, Worker Shortage, Fed Survey Shows
Updated on 03/02/2022 05:14 pm The US economy expanded at a modest to moderate pace from January to mid-February as inflation pressures remained elevated and employers continued to struggle to find workers, a Federal Reserve report showed on Wednesday. The mixed picture illustrated in the central bank’s latest survey of business contacts across the country […]
Fed’s monetary policy on track despite ‘uncertain’ impact of Ukraine war, says Powell
Updated on 03/02/2022 09:23 am The Federal Reserve (Fed) will go ahead with its plans to raise interest rates this month to try to control high inflation, but the outbreak of war in Ukraine has made the outlook “very uncertain”, said Fed Chairman Jerome Powell. In comments prepared for his testimony before the House Financial […]
Russia against Ukraine: how does the war impact the fight against inflation in Peru and the world?
The war between Russia and Ukraine ceased to be a face-to-face battlefield and has moved to the economic field with the sanctions imposed by the United States and its Western allies with the intention of persuading Vladimir Putin to stop his advance in Ukraine; and with “destroying the Russian economy,” according to White House officials. […]
Fed’s Bostic doesn’t rule out 50bp rate hike in March
Updated on 02/28/2022 04:52 pm The US Federal Reserve (Fed) may need to raise interest rates by half a percentage point at its March 15-16 meeting if economic data so far shows high inflation persists, the Atlanta Fed president said. , Raphael Bostic. “As we speak today, I’m still in favor of a 25 basis […]
Fed Report Says Jobs, Wages Could Drive Persistent Inflation
Updated on 02/25/2022 02:37 pm The Federal Reserve (Fed) has warned that inflation could persist longer than expected if labor shortages and wage increases continue, casting aside its earlier faith in inflation.transient” to paint a more cautious view of how the US economy may evolve. In the latest monetary policy report to Congress, which is […]