Economic Performance/Indicators

How Long Should Powell Keep Raising Interest Rates? Fed Officials Are Divided

How Long Should Powell Keep Raising Interest Rates? Fed Officials Are Divided

When inflation was hitting 40-year highs, Fed officials were unanimous that rates needed to rise aggressively. Now cracks are beginning to emerge among them over how stubborn inflation has become and what they should do about it. Some expect inflation to cool steadily next year and want to stop raising rates soon. Others worry inflation …

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Jerome Powell’s Dilemma: What If the Drivers of Inflation Are Here to Stay?

Jerome Powell’s Dilemma: What If the Drivers of Inflation Are Here to Stay?

To counter the impact of a decline in global commerce and persistent shortages of labor, commodities and energy, central bankers might lift interest rates higher and for longer than in recent decades—which could result in weaker economic growth, higher unemployment and more frequent recessions. The Federal Reserve’s current round of interest-rate increases, which economists say …

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