Wall Street Economists Split on Whether Fed Cuts Rates in 2023
Wall Street’s biggest banks agree the Federal Reserve will hike US interest rates further into next year but at odds over how high.
Wall Street’s biggest banks agree the Federal Reserve will hike US interest rates further into next year but at odds over how high.
It's hard to know how high the U.S. central bank will need to raise interest rates, Minneapolis Federal Reserve Bank President Neel Kashkari said.
Federal Reserve officials stressed the need to keep raising interest rates while acknowledging recent encouraging news on US consumer prices.
Federal Reserve Vice Chair Lael Brainard said the central bank should soon moderate the size of its interest-rate increases.
Stubbornly high inflation could force the Federal Reserve to aggressively raise interest rates above 6%.
US inflation probably moderated just slightly in Oct. Data due Thurs., another above-forecast reading may dash expectations to downshift by Fed.
Quantitative tightening may still end early “if the economy goes into recession and the Fed is contemplating big cuts of 100 basis points or more.