Fed Decides, Biden’s Big Government, Family Plan: Eco Day

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

  • The Federal Reserve is all but certain to hold interest rates near zero at the end of its two-day meeting Wednesday, and to repeat a pledge to keep buying bonds at the current $120 billion monthly pace
    • Click here to read what our economists expect from today’s meeting
  • Four decades after Ronald Reagan’s philosophy of lowering taxes and shrinking government took hold -- culminating in Donald Trump’s 2017 tax cuts -- Joe Biden is turning U.S. economic policy in the opposite direction
    • Biden will ​​​​​​unveil on Wednesday a sweeping $1.8 trillion plan to expand educational opportunities and child care for families, funded in part by the largest tax increases on wealthy Americans in decades -- the centerpiece of his first address to a joint session of Congress
    • The economic rebound powering the S&P 500 Index to almost-daily records has left large swaths of Main Street behind, with millions of small businesses waiting to join the party
  • Elsewhere, workers in Argentina are demanding pay rises to keep pace with one of the highest inflation rates in the world
  • Did China lowball 1Q GDP? We’ll probably never know for sure, according to Bloomberg Economics

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