To hike or not to hike? Fed's next move in question as bank crisis feared

And it is all unfolding during the central bank's premeeting blackout period that prevents officials from offering public clarity on their assessment of the situation, and its effect on monetary policy decisionsits interest-rate-hike campaign in the face of persistent inflation. Traders moved to price in a half-point hike in the benchmark interest rate at the Fed's March 21-22 meeting, from its current 4.5%-4.75% range, and further rate hikes beyond.

A pause, he argued, risks undoing the work of the Fed's 4.5 percentage points of rate hikes since last March. After the bank failures in recent days, "We’re getting a better sense of who’s suffered due to the Fed’s aggressive tightening," JPMorgan's Michael Feroli wrote. Slower growth in lending by mid-size banks will sheer off a half to a percentage point of economic growth overall, he predicted, "broadly consistent" with the view that higher interest rates will trigger a U.S. recession that will in turn slow inflation.

Not Not Not!

3

FederalReserve stuck between a rock & a hard place..let interest rate peak at 5% and freeze it there for a little while in 2023 Finance TradFi DeFi cryptocurrency

No hike is an admission that something is broken. 😶

More bank failures or accelerated inflation. Tough choice… The Great Unwind is painful…

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Inflation cooled to 6% in February as the Federal Reserve weighs next steps on interest ratesPrices rose 0.4% last month from January, slightly lower than the prior monthly increase, as investors assess how the Fed may respond to the twin challenges of inflation and unrest in the banking sector when it meets next week. Remember when the dems said it was transitory and didn’t take it serious at the beginning? Life is a disaster under this horrible administration I thought iinflation was at a all time low according to your demented pedo Joe.
Source: NBCNews - 🏆 10. / 86 Read more »