Fed Moderation, EU Gas Fight, Argentina Contraction: Eco Day

Nov 24, 2022

Most fed officials seek to slow pace of interest-rate hikes
EU puts energy crisis moves on hold to address gas price cap

Welcome to Thursday, Americas. Here’s the latest news and analysis from Bloomberg Economics to help you start the day:

  • Federal Reserve officials concluded earlier this month that the central bank should soon moderate the pace of interest-rate increases, while staff economists had briefed them that the chances of a US recession in the next year had risen to almost 50%
    • Minutes of the November FOMC meeting reveal a surprisingly strong dovish tendency on the committee, as well as at the staff level, according to Bloomberg Economics
  • Initial jobless claims for the week ending Nov. 19 surged and continuing claims remained on a persistent uptrend, pointing at softening in the US labor market, according to Bloomberg Economics
  • Argentina’s economy contracted for the first time in six months in September amid weak industrial and construction activity, adding to government woes as inflation approaches 100%
  • The European Union is set to pause efforts to approve a package of emergency measures to curb fallout from high natural gas prices as diplomats try to resolve a deep split over a push to cap the cost of gas
  • Financial stability in Germany, Europe’s largest economy, has taken a substantial turn for the worse this year, triggering warnings from the Bundesbank
  • Finally, check out this week’s Stephanomics podcast: ‘Swiftonomics’ may finally break Ticketmaster’s spell