Central Banks

Fed Seen Aggressively Hiking to 5%, Triggering Global Recession

  • Survey of economists sees 75 basis-point hike, then slowing
  • Three-quarters say the Fed will err by doing too much
Summers Says Politically Pressuring Fed a 'Fool's Game'
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Federal Reserve officials will maintain their resolutely hawkish stance next week, laying the groundwork for interest rates reaching 5% by March 2023, moves that seem likely to lead to a US and global recession, economists surveyed by Bloomberg said.

The Federal Open Market Committee will raise rates by 75 basis points for a fourth consecutive meeting when policymakers announce their decision at 2 p.m. in Washington Wednesday, the survey found.