economic performance

Fed will likely need to keep interest rates above 5% through 2024 to successfully control inflation, says Bullard

Fed will likely need to keep interest rates above 5% through 2024 to successfully control inflation, says Bullard

The Federal Reserve will likely need to keep its benchmark policy rate north of 5% for most of 2023 and into 2024 to successfully control inflation, St. Louis Fed Chairman James Bullard said. during an interview with MarketWatch. “I think we’ll have to stay there through 2023 and into 2024,” Bullard told MarketWatch economics editor …

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“Most economists predict a recession in 2023”: I own a rental property.  Is it the right time to take out a bank loan and renovate or should I wait?

“Most economists predict a recession in 2023”: I own a rental property. Is it the right time to take out a bank loan and renovate or should I wait?

Dear MarketWatch, Along with a sibling, I own a 40+ bedroom rental property in the Caribbean, where we do weekly rentals. It is near the city center but needs repairs and renovations. Is it a good time to go to the bank for a renovation loan? We are also open to changing our business model. …

“Most economists predict a recession in 2023”: I own a rental property. Is it the right time to take out a bank loan and renovate or should I wait? Read More »

Here are four worrying signs that inflation may persist, from a bond fund manager

Here are four worrying signs that inflation may persist, from a bond fund manager

What last week’s consumer prices and then Tuesday’s producer price index data both show is that the market was pricing in more bad news on the inflation front than of relief, and therefore large short cover rallies when the data is weaker than expected. SocGen This graph from Societe Generale clearly shows that the biggest …

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Even JPMorgan bullish strategist Kolanovic says the markets are getting ahead of themselves.  Here's what he and a Goldman strategist say do now.

Even JPMorgan bullish strategist Kolanovic says the markets are getting ahead of themselves. Here’s what he and a Goldman strategist say do now.

A bullish day is looming for equities after more upbeat inflation news as producer prices fell more than expected. That’s when the clock ticks down to Wednesday’s retail sales report. But while some investors cling to hope that last week’s stock run started with last week’s weaker CPI inflation report, Wall Street remains wary, with …

Even JPMorgan bullish strategist Kolanovic says the markets are getting ahead of themselves. Here’s what he and a Goldman strategist say do now. Read More »

Inflation will drop 'significantly' next year, Goldman Sachs economists say

Inflation will drop ‘significantly’ next year, Goldman Sachs economists say

According to Goldman Sachs, the Federal Reserve’s preferred measure of inflation will fall below 3% by the end of next year as supply constraints ease, the cost of housing declines and the labor market will cool. Such an outcome could allow the Federal Reserve to be less aggressive in its cycle of raising interest rates …

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The Fed is stuck looking back as the economy advances

The Fed is stuck looking back as the economy advances

Text size The Fed’s flexible average inflation target leads it to rely more on lagging indicators, writes David Beckworth. Graeme Sloan/Bloomberg About the Author: David Beckworth is a Senior Fellow at the Mercatus Center at George Mason University and a former international economist at the United States Department of Treasury. The Federal Reserve is waging …

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Tight markets need a working Washington.  Traffic jam won't help.

Tight markets need a working Washington. Traffic jam won’t help.

Text size In today’s polarized political climate, President Biden’s loss of Congressional majority could lead to long delays in adequately addressing economic and financial market issues next year. Samuel Corum/Getty Images About the Author: Desmond Lachman is a Senior Fellow at the American Enterprise Institute. He was Deputy Director of the Policy Development and Review …

Tight markets need a working Washington. Traffic jam won’t help. Read More »