Economics
Fed on Edge as Trump Growth Bump Boosts Risks of Rate-Hike Error
- Sharp turning points in economy hard for economists to predict
- Uncertainty high as Fed officials move past go-slow policy
Marinov: Fed Rate Hikes to Help Rally U.S. Dollar
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To err is human. To err when you’re the Federal Reserve means national wealth gets destroyed and millions of people lose their jobs.
That’s why U.S. central bankers have taken a patient approach to raising interest rates --just two hikes in the past 13 months -- as unemployment declined with barely a flicker of inflation. As the Fed tightened in December and wages jumped at the end of the year, a new risk crept into their debate: What if they lift too slowly?