Good News on Jobs May Mean Bad News Later as Hiring Spree Defies Fed

Employers hired rapidly and paid more in July, suggesting the Federal Reserve may have to remain aggressive in its effort to cool the economy.

#biden-joseph-r-jr, #federal-reserve-system, #hiring-and-promotion, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #united-states-economy, #wages-and-salaries, #white-house-council-of-economic-advisers

We Can’t Let Bad Vibes Lead Us to a Recession

When we think about things like inflation and monetary policy, it’s best to frame them through people. And people are, of course, silly and messy.

#consumer-behavior, #federal-reserve-system, #inflation-economics, #powell-jerome-h, #recession-and-depression, #united-states-economy

A Fed Pivot? Not Yet, Policymakers Suggest, as Rapid Inflation Lingers.

Stocks rose after the Federal Reserve’s recent meeting, with investors hoping the central bank would dial back rate increases. Not so soon, officials indicated on Tuesday.

#daly-mary-c, #evans-charles-l, #federal-reserve-bank-of-chicago, #federal-reserve-bank-of-cleveland, #federal-reserve-bank-of-minneapolis, #federal-reserve-bank-of-new-york, #federal-reserve-bank-of-san-francisco, #federal-reserve-system, #inflation-economics, #interest-rates, #kashkari-neel-t, #mester-loretta-j, #powell-jerome-h, #united-states-economy

Pay growth and prices picked up, keeping the Fed on track for rate increases.

The Federal Reserve’s preferred inflation gauge climbed rapidly in June. Wage and benefit gains are fast, too, separate data showed.

#federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #united-states-economy, #wages-and-salaries

Federal Reserve Makes Another Supersized Rate Increase to Tame Inflation

The central bank raised rates by three-quarters of a percentage point and suggested additional large increases could be warranted.

#consumer-behavior, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #mortgages, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #united-states-economy, #wages-and-salaries

How Will Interest Rate Increases Impact Inflation?

The Federal Reserve is raising interest rates to fight inflation. Some economists want more; some politicians want less. What’s the logic?

#consumer-behavior, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #summers-lawrence-h, #supply-chain, #united-states-economy, #warren-elizabeth

How U.S. Inflation Expectations Are Being Shaped by Consumer Choices

Economic policymakers are razor focused on inflation expectations after more than a year of rapid price increases. Consumers explain how they’re thinking about rising costs.

#federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #prices-fares-fees-and-rates, #supermarkets-and-grocery-stores, #united-states, #united-states-economy, #wages-and-salaries

Euro Hits Parity With U.S. Dollar for First Time in 20 Years

In recent months, pressure on the euro has been mounting while investors have been flocking to the U.S. dollar, a haven in times of economic upheaval.

#banking-and-financial-institutions, #currency, #euro-currency, #european-central-bank, #eurozone, #federal-reserve-system, #inflation-economics, #lagarde-christine, #powell-jerome-h, #united-states-economy, #us-dollar-currency

Strong Wage and Jobs Growth Keeps Fed on Track for Big Rate Increase

The Federal Reserve is trying to cool down the economy to bring inflation under control, but the job market is still going strong.

#consumer-price-index, #economic-conditions-and-trends, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #recession-and-depression, #united-states-economy, #wages-and-salaries, #williams-john-c

The Economy Is Already Cooling, So Why Is the Fed Dousing It With Cold Water?

The bank’s aggressive rate-raising could lead to a recession.

#deflation-economics, #federal-reserve-bank-of-atlanta, #inflation-economics, #interest-rates, #internal-sub-only-nl, #powell-jerome-h, #united-states-economy

Inflation Is Posing 19 Problems for One Central Bank

After more than a decade of worrying about low inflation, the European Central Bank is trying to tackle the problem of high inflation across the eurozone’s economies.

#banking-and-financial-institutions, #economic-conditions-and-trends, #europe, #european-central-bank, #eurozone, #inflation-economics, #interest-rates, #lagarde-christine, #powell-jerome-h, #prices-fares-fees-and-rates, #sintra-portugal, #stimulus-economic

Wonking Out: Taking the ‘Flation’ Out of Stagflation

The trench seems to have recovered its anchor, or something.

#economics-theory-and-philosophy, #federal-reserve-system, #inflation-economics, #interest-rates, #internal-sub-only-nl, #international-trade-and-world-market, #powell-jerome-h, #recession-and-depression, #united-states-economy

Fed Confronts a ‘New World’ of Inflation

Central banks had a longstanding playbook for how inflation worked. In the postpandemic era, all bets are off.

#coronavirus-2019-ncov, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #oil-petroleum-and-gasoline, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #shortages, #supply-chain, #united-states-economy, #wages-and-salaries

Why the Fed Is Risking a Recession

Home sales are flagging and the rest of the economy is expected to slow, maybe sharply, as rates increase. Why is the Federal Reserve doing this?

#federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #recession-and-depression, #united-states-economy

A Recession Would Hurt Democrats. Some Warn It’d Also Hurt Democracy.

By trying to tame inflation, some commentators say, the Federal Reserve could bring about a recession — just as an unrepentant Donald Trump appears to be eyeing another White House bid.

#biden-joseph-r-jr, #inflation-economics, #internal-sub-only-nl, #powell-jerome-h, #presidential-election-of-2024, #presidents-and-presidency-us, #trump-donald-j, #united-states-economy, #united-states-politics-and-government

The Fed Raises Interest Rates by 0.75 Percentage Points to Tackle Inflation

Central bankers raised interest rates by three-quarters of a percentage point, and signaled that they expect rates to be sharply higher by the end of the year.

#consumer-price-index, #credit-and-debt, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #united-states-economy

Fed Set to Lift Rates as ‘Soft-ish Landing’ Becomes a Harder Sell

The central bank has hoped to cool down the economy without pushing unemployment much higher. Stubborn inflation narrows that path.

#federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #united-states-economy

Inflation Isn’t Going to Bring Back the 1970s

The Federal Reserve has the tools that it needs. Now it should use them.

#burns-arthur-f, #consumer-price-index, #credit-and-debt, #federal-reserve-system, #inflation-economics, #interest-rates, #martin-william-mcchesney, #nixon-richard-milhous, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #united-states-economy, #volcker-paul-a

If You Must Point Fingers on Inflation, Here’s Where to Point Them

The Fed continues to evade accountability for inflation.

#biden-joseph-r-jr, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #republican-party, #united-states-economy

The Fed, Not Democrats, Got Us Into This Inflation Mess

The Fed continues to evade accountability for inflation

#biden-joseph-r-jr, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #republican-party, #united-states-economy

Wonking Out: Why Monetary Policy Has Gotten So Hard

If you aren’t taking risks, you aren’t doing your job.

#economics-theory-and-philosophy, #european-central-bank, #federal-reserve-system, #inflation-economics, #interest-rates, #internal-sub-only-nl, #international-trade-and-world-market, #lagarde-christine, #powell-jerome-h, #united-states-economy

Fed Minutes Show Officials Expecting to Raise Rates Three Times to Address Inflation

Minutes of the Federal Reserve’s May meeting underscored the deep concern within the central bank about rapidly rising prices that have far exceeded the Fed’s target.

#banking-and-financial-institutions, #coronavirus-2019-ncov, #credit-and-debt, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #united-states-economy

Ben Bernanke Sees ‘Stagflation’ Ahead

The former chairman of the Federal Reserve has a new book out on Tuesday explaining the powers of the Fed and Congress to juice or slow our economy amid a supply-chain crunch and sky-high demand.

#banking-and-financial-institutions, #bernanke-ben-s, #coronavirus-2019-ncov, #federal-reserve-system, #inflation-economics, #powell-jerome-h, #united-states-politics-and-government, #volcker-paul-a

Jerome Powell Confirmed for a Second Term as Fed Chair

The Senate vote gives Biden appointees a majority on the Fed Board during a period of rapid inflation.

#appointments-and-executive-changes, #biden-joseph-r-jr, #federal-reserve-bank-of-new-york, #federal-reserve-system, #inflation-economics, #powell-jerome-h, #united-states-economy, #united-states-politics-and-government

Lisa Cook Becomes First Black Woman Confirmed as a Fed Governor

Ms. Cook is the first Black woman ever confirmed as a governor at the Federal Reserve.

#appointments-and-executive-changes, #banking-and-financial-institutions, #biden-joseph-r-jr, #black-people, #brainard-lael, #cook-lisa-d, #federal-reserve-system, #jefferson-philip-n, #powell-jerome-h, #united-states

Fed Confronts Why It May Have Acted Too Slowly on Inflation

Central bankers have been asking whether they should have reacted faster to rising inflation last year — and are learning from the recent past.

#biden-joseph-r-jr, #bostic-raphael-w, #clarida-richard-h-1957, #federal-reserve-system, #inflation-economics, #interest-rates, #mester-loretta-j, #powell-jerome-h, #quantitative-easing, #quarles-randal-k, #united-states-economy, #waller-christopher-1959

Fed Officials Are on the Defensive as High Inflation Lingers

Critics have accused the Federal Reserve of not reacting quickly enough to tame rising prices. On Friday, a Fed governor explained why it took so long.

#banking-and-financial-institutions, #federal-reserve-bank-of-minneapolis, #federal-reserve-system, #inflation-economics, #interest-rates, #kashkari-neel-t, #powell-jerome-h, #summers-lawrence-h, #treasury-department, #united-states-economy, #waller-christopher-1959, #warsh-kevin-m

The Stock and Bond Markets Don’t Yet Know How to Cope With the Fed

Head-spinning volatility in financial markets isn’t all that puzzling when you consider the problems the Federal Reserve is grappling with, our columnist says.

#content-type-service, #inflation-economics, #interest-rates, #powell-jerome-h, #recession-and-depression, #stocks-and-bonds, #united-states-economy

Stocks Slide, Erasing Wednesday’s Gains

Swings in the stock market have become amplified lately, as investors worry that inflation and fast-rising interest rates could hit spending, profits and — ultimately — economic growth.

#federal-reserve-system, #inflation-economics, #powell-jerome-h, #standardpoors-500-stock-index, #stocks-and-bonds, #united-states-economy

Fed Raises Interest Rate Half a Percentage Point, Largest Increase Since 2000

The Federal Reserve is combating the fastest price increases in four decades and is trying to cool the economy before high inflation becomes embedded.

#federal-reserve-system, #government-bonds, #inflation-economics, #interest-rates, #powell-jerome-h, #treasury-department, #united-states-economy, #yellen-janet-l

The Fed Wants to Fight Inflation Without a Recession. Is It Too Late?

Federal Reserve officials took a while to recognize that inflation was lasting. The question is whether they can tame it gently now.

#consumer-behavior, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #quantitative-easing, #stimulus-economic, #united-states-economy, #wages-and-salaries

The Era of Cheap and Plenty May Be Ending

Supplies of goods are coming up short in the pandemic, and prices have jumped. Some economists warn that the changes could linger.

#economic-conditions-and-trends, #factories-and-manufacturing, #goodhart-charles, #inflation-economics, #international-trade-and-world-market, #labor-and-jobs, #okonjo-iweala-ngozi, #powell-jerome-h, #prices-fares-fees-and-rates, #relocation-of-business, #supply-chain, #united-states-economy, #yellen-janet-l

The Courage Required to Confront Inflation

Inflation is the nation’s primary economic problem. The Federal Reserve still needs to move cautiously as it begins to raise interest rates.

#banking-and-financial-institutions, #coronavirus-2019-ncov, #coronavirus-aid-relief-and-economic-security-act-2020, #federal-reserve-system, #history-academic-subject, #inflation-economics, #interest-rates, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #stimulus-economic, #united-states-economy, #volcker-paul-a

Stocks Tumble as Jitters over Interest Rates Persist

Wall Street was on track for its worst daily decline since early March, Recent comments from Fed officials have fueled expectations that interest rates will climb far faster than anyone thought even a few weeks ago.

#banking-and-financial-institutions, #hca-healthcare-inc, #interest-rates, #powell-jerome-h, #standardpoors-500-stock-index, #stocks-and-bonds, #united-states-economy

To Stop Inflation, Will We Need to Engineer a Recession?

Raising interest rates will pour cold water on an economy many believe is overheated — but at the risk of triggering a downturn.

#consumer-price-index, #debatable, #inflation-economics, #powell-jerome-h, #real-estate-and-housing-residential, #summers-lawrence-h, #unemployment

The Fed Bets on a ‘Soft Landing,’ but Recession Risk Looms

Central bankers have been clear that they will do what it takes to control inflation. They are betting on a soft landing, but a bumpy one is possible.

#federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #recession-and-depression, #unemployment, #united-states-economy

Bond Market Unsettled by Inflation Worries

The usually sedate bond market has been unsettled by worries about inflation, the Federal Reserve’s interest rate increases and even the possibility of a recession.

#consumer-price-index, #federal-open-market-committee, #government-bonds, #inflation-economics, #interest-rates, #powell-jerome-h, #russian-invasion-of-ukraine-2022, #stocks-and-bonds, #volcker-paul-a

Federal Reserve Walks a Tightrope Between Inflation and Recession

American consumers already have high inflation. Because of the oil price shock and Russia’s war, the odds of a recession have increased, too.

#china, #consumer-price-index, #credit-and-debt, #eastern-europe, #federal-open-market-committee, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #prices-fares-fees-and-rates, #recession-and-depression, #russian-invasion-of-ukraine-2022, #supply-chain, #united-states-economy

Inflation Lessons From the 1970s

Painful lessons from the past have helped convince policymakers that quickly raising interest rates is the way to combat rising prices.

#audio-neutral-informative, #banking-and-financial-institutions, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #united-states, #united-states-economy, #volcker-paul-a

Why Is the Fed Raising Interest Rates?

Here’s the Federal Reserve’s rationale, and how it might trickle through the economy to affect you.

#banking-and-financial-institutions, #consumer-behavior, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #prices-fares-fees-and-rates

As Fed Prepares to Raise Rates, Global Economy Sinks Deeper Into Turmoil 

Federal Reserve officials are set to raise interest rates to control inflation, but the return to normal they had hoped to see remains painfully elusive.

#banking-and-financial-institutions, #federal-reserve-system, #inflation-economics, #interest-rates, #international-trade-and-world-market, #politics-and-government, #powell-jerome-h, #prices-fares-fees-and-rates, #united-states-economy

When Inflation Meets a War

The Federal Reserve has to juggle conflicting goals of taming inflation and sustaining growth.

#banking-and-financial-institutions, #economic-conditions-and-trends, #federal-reserve-system, #inflation-economics, #powell-jerome-h, #russian-invasion-of-ukraine-2022, #united-states-economy

Could Inflation Prompt Powell to Act Like Volcker?

The Federal Reserve is facing the fastest inflation most Americans have ever seen. Its chair says policymakers will do what it takes to tame prices.

#banking-and-financial-institutions, #federal-reserve-system, #inflation-economics, #interest-rates, #politics-and-government, #powell-jerome-h, #prices-fares-fees-and-rates, #united-states-economy, #volcker-paul-a

Inflation Rises to 7.9 Percent for February 2022

Consumer Price Index inflation has been boosted by gas prices but also by increases across a wide variety of products and services.

#consumer-price-index, #economic-conditions-and-trends, #federal-reserve-system, #inflation-economics, #powell-jerome-h, #prices-fares-fees-and-rates, #united-states, #united-states-economy

Powell Says Rates Are Headed Higher, Even as Ukraine Poses Uncertainty

Jerome Powell, the Federal Reserve chair, said he would support a quarter-point increase at the March meeting.

#economic-conditions-and-trends, #federal-reserve-system, #inflation-economics, #interest-rates, #powell-jerome-h, #united-states-economy

Federal Reserve Rolls Out Tough Trading Restrictions After Scandal

Top Federal Reserve officials will be barred from owning many securities after a trading scandal and a series of prominent resignations.

#banking-and-financial-institutions, #clarida-richard-h-1957, #ethics-and-official-misconduct, #federal-reserve-system, #kaplan-robert-s, #powell-jerome-h, #rosengren-eric-s, #stocks-and-bonds

January Fed Minutes Show Concern About Inflation’s Spread

Minutes from the Federal Reserve’s meeting in January reflected ongoing concern about prices rising across the economy.

#banking-and-financial-institutions, #consumer-price-index, #daly-mary-c, #federal-reserve-bank-of-san-francisco, #federal-reserve-system, #government-bonds, #inflation-economics, #interest-rates, #powell-jerome-h, #prices-fares-fees-and-rates

Senate Republicans Stall Critical Vote on Fed Nominees

The White House’s five Fed nominees, including picks for the chair and vice chair, were supposed to face a vote on Tuesday, but Republicans boycotted.

#appointments-and-executive-changes, #banking-and-financial-institutions, #brainard-lael, #brown-sherrod, #cook-lisa-d, #federal-reserve-bank-of-kansas-city, #federal-reserve-system, #inflation-economics, #jefferson-philip-n, #powell-jerome-h, #raskin-sarah-bloom, #regulation-and-deregulation-of-industry, #republican-party, #senate, #senate-committee-on-banking, #toomey-patrick-j, #united-states-politics-and-government

CPI Inflation Climbed 7.5 Percent in January, the Fastest Rise Since 1982

Consumer Price Index data show that prices climbed over the past year more rapidly than economists expected. On a monthly basis, prices rose 0.6 percent.

#automobiles, #chipotle-mexican-grill-inc, #consumer-price-index, #federal-reserve-system, #inflation-economics, #interest-rates, #labor-and-jobs, #powell-jerome-h, #prices-fares-fees-and-rates, #united-states-economy, #wages-and-salaries

Fed nominees commit to not taking part in finance’s revolving door.

Three Federal Reserve picks said that they won’t work in finance for years if they are confirmed to central bank positions.

#banking-and-financial-institutions, #biden-joseph-r-jr, #brainard-lael, #brown-sherrod, #cook-lisa-d, #federal-reserve-bank-of-kansas-city, #federal-reserve-system, #jefferson-philip-n, #powell-jerome-h, #raskin-sarah-bloom, #senate-committee-on-banking-housing-and-urban-affairs, #toomey-patrick-j, #united-states-politics-and-government, #warren-elizabeth