Fed’s Saber Rattling, Global Taxes, Student Loan Burden: Eco Day

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

  • Federal Reserve officials have said for months that price increases are temporary. On Wednesday, they weren’t so sure
    • The Fed sped up its expected pace of policy tightening amid optimism about the labor market and heightened concerns for inflation
    • While certainly a strong indication the Fed may raise rates by the end of 2023, a median view of two hikes that year may overstate the shift, according to Bloomberg Economics. Hawkish regional bank presidents on the Committee in 2022 will rotate off in 2023. The voting rolls turn net dovish that year, based on ratings in Bloomberg Economics’ Fed Spectrometer
    • The Fed’s new outlook for interest rates ricocheted through Asian markets as the dollar and Treasury yields surged, easing pressure on some of the region’s biggest central banks and complicating the outlook for others
  • Fewer Americans fear eviction or foreclosure as moratoriums end. Many families’ finances are improving in time to stay in their homes
  • It’s hard enough to pay off college loans out of a salary. It doesn’t get any easier when you retire
  • There could be $300 billion in annual U.S. spending up for grabs by the Black community because corporate America still isn’t creating enough products that appeal to them
  • European Central Bank officials head off this weekend together to discuss the biggest overhaul of their monetary policy strategy in almost two decades
  • The world’s richest nations have their work cut out to achieve the overhaul of corporate taxation they’re keen on
  • Finally, check out this week’s Stephanomics podcast: World Bank Chief Economist Carmen Reinhart explains why she worries the recent surge in inflation could be around for a while, hitting the world’s poorest hardest

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