His efforts have NOT actually done much of ANYTHING except screw up the Housing market…..
Raising rates has had NO AFFECT on the rising consumer prices so far….
Business are STILL looking for workers also…..
At some point?
One of Biden’s people ARE going to have take the Fed chair in a room and tell him he’s actually fucking his country….
The problem is straight up price hikes…
The guy seems to be clueless….
Fed leaders will convene again March 21 through 22, at which point they’ll have more data to analyze. Fresh jobs figures covering February will be released on Friday. And next week, a new inflation report will help explain whether progress on the Fed’s inflation fight is slowing.
When officials assemble later this month, they will announce the size of their next rate hike and release a fresh set of economic projections on inflation, the unemployment rate, economic growth and the future path for the baseline interest rate controlled by the central bank control. The expectation is that there will be notable revisions since the last set of projections from December, including in where interest rates will eventually settle….
The Fed makes its decisions independent from politics, but it comes under significant pressure from both parties. Republicans have long criticized the Biden administration for its big spending packages, and they slammed the Fed last year for being slow to raise rates. Democrats, meanwhile, have warned the Fed against going too far and causing such a slowdown that business announce widespread layoffs and workers suffer.
Meanwhile, Republican and Democrats on Capitol Hill are clashing over the debt ceiling. Powell told lawmakers that the consequences of not raising the debt limit “are hard to estimate, but they could be extraordinarily adverse and could do long-standing harm.”…
Inflation has fallen from last summer’s peak but remains well above normal levels. And the Fed’s inflation fight appears to be getting harder. January prices eased over the year before, but only slightly, and the concern now is that the remaining sources of inflation will be more difficult to root out.
At the top of that list is inflation that stems from the hot labor market, which can be exacerbated by wage pressures and mismatches in the number of job openings vs. the number of people looking for work. That has Fed officials focused on inflation in service industries like health care and hospitality.
A hot labor market is usually a boon for workers, giving them leverage and negotiating power for higher pay. But Democrats have raised alarms that high rates could dampen the economy so much that workers lose their jobs and people pull back on spending. Sen. Elizabeth Warren (D-Mass.) asked Powell what he would say to millions of people who could be out of work if the Fed keeps raising rates and causes a downturn….
Leave a Reply
You must be logged in to post a comment.