The up-revision of total employment should re-establish the historic relationship to nonfarm payroll jobs. By not adequately accounting for the migrants, the household employment data started to massively diverge from the nonfarm payroll data in mid-2023. Total employment, lacking...
If all that isn’t sufficient, soon we will have $32T in Federal nominal debt, which will at some point pay interest @ 4.6%(the current average of median estimates of Fed rates for 2023 and 2024), which generates a run rate of $1.4T in interes...
Driving all of this are the same, familiar themes: The economy, inflation, and interest rates. Any political instability we may see towards the end of the year indeed may impact the markets, but until my technical and chart analysis tells me otherwise, I am remaining fully invested. Inflation...
In international developments, many central banks in advanced foreign economies (AFEs) had begun or continued to lower policy rates during the intermeeting period, with the Bank of England (BOE) deciding to initiate its rate-cutting cycle with a 25 basis point reduction and the E...
Some economists believe the Fed waited too long to confront the burst in inflation, while others have expressed concerns that moving too quickly to stabilize prices risks triggering an economic recession. Hiking interest rates tends to create higher rates on consumer and business loans, which slows ...
In 1977, the U.S. Congress updated the Federal Reserve Act to lay out three clear goals for the U.S. central bank: “maximum employment, stable prices, and moderate long-term interest rates.” The third of these goals has effectively been subsumed into the other two, ...
Rates decision: The FOMC held the policy rate in a range of 5.25-5.50%, where it has remained since July 2023. Year-over-year growth in core PCE inflation was 2.9% in December, and so the Committee has seen "good progress" toward its goals, but inflation is still "elevated". ...
Harvard economics professor Martin Feldstein spoke to Bloomberg Television’s Sara Eisen this morning, saying that the real danger to the U.S. economy is that “this is a bubble in the stock market created by low long-term interest rates that the Fed has engineered.” ...
For the first two months of fiscal 2023, which started on Oct 1, the Treasury's interest payments were up $48 billion, or 87 percent, the department said. Debt-to-GDP ratio If interest rates remain elevated or continue rising, the interest could become one of the top three federal expens...
Terms of trade, exchange and interest rates and money movements are more important that the production of goods. The electronic economy made possible by information technology allows the haves to increase their control on global markets—with destructive impact on the have-nots. C. For them the...