The Federal Reserve is unwinding its bond-buying program. Will that help deflate the inflation balloon?

Aug 24, 2022
The Fed uses its buying power in the bond market to raise or lower interest rates by manipulating how much money is available in the economy.
The Fed blew up the "balloon" of the economy during the pandemic by, in part, ratcheting up its bond buying and flooding financial markets with money.
Getty Images

The lure of fishing, a Federal Reserve chair and Jackson Hole

Aug 24, 2022
We delve into the history of the Federal Reserve's annual Jackson Hole Economic Symposium.
Karen Bleier/AFP/Getty Images

How relevant are Federal Reserve meeting notes in a changing economy?

Aug 17, 2022
Inflation seems to be easing since the central bank met in July. But analysts observe the dynamics among policymakers.
Wall Street often uses the minutes from Federal Reserve meetings to predict market trends, but the meeting notes don't always reflect current economic information.
Saul Loeb/AFP via Getty Images

Fed unleashes another three-quarter point interest rate in bid to curb inflation

Jul 27, 2022
Attempting to curb the highest inflation in more than four decades, the Federal Reserve moved to raise its key rate to a range of 2.25% to 2.5%.
With inflation running at 9.1%, the Federal Reserve raise its key interest rate on Wednesday to the highest range since 2018. Above, Fed Chair Jerome Powell testifies before the House Committee on Financial Services in June.
Win McNamee/Getty Images

What does "broad-based" inflation look like down the road?

Jul 13, 2022
Energy, food and rent were big drivers of the 9.1% inflation reading. Where are those numbers headed?
Food prices were up 10% year over year, according to the Bureau of Labor Statistics.
Angela Weiss/AFP via Getty Images

Why the Fed's plans to shrink its balance sheet could get complicated

Jul 12, 2022
The central bank has made its portfolio a key part of monetary policy. But the balance sheet's economic impact isn't entirely clear, experts say.
As the Fed has scooped up assets to carry out quantitative easing, some are asking: At what cost? Above, the Federal Reserve building in Washington, D.C.
Saul Loeb/AFP via Getty Images

The labor market is strong enough to take more rate increases, Federal Reserve official says

Jul 7, 2022
The economy is not where it needs to be on inflation, says Mary Daly, head of the Federal Reserve Bank of San Francisco.
Mary Daly, president and CEO of the San Francisco Fed, says that as we raise interest rates, she expects job vacancies to decrease.
Courtesy Federal Reserve Bank of San Francisco

For public good, not for profit.

Central bankers' group sees a "narrow path" to rein in inflation and maintain growth

Jun 27, 2022
It's largely about preventing “inflationary psychology” from becoming entrenched, the Bank for International Settlements said.
The Bank for International Settlements warned that “inflationary psychology” could become entrenched and self-reinforcing. But the effort to douse inflation comes with risk of its own.
Fabrice Coffrini/AFP via Getty Images

Fed inflation fight could hinder wage gains for lowest-paid workers

Jun 27, 2022
It's all about reducing the demand for labor.
The Federal Reserve's efforts to deal with inflation could have ripple effects that reach workers in lower-wage jobs.
Photo by Chip Somodevilla/Getty Images

The Fed's heightened rates are still way below historic levels

Jun 23, 2022
Trevon Logan, professor of economics at The Ohio State University, says we're looking at a "new normal" for the federal funds rate.
Karen Bleier/AFP via Getty Images