U.S. Inflation, Federal Reserve Watch, Freight Pain: 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:

• The roughly $2 trillion tax and spending bill being championed by President Joe Biden will push up inflation next year if passed by Congress, according to top economists
  • Biden’s first six months in office would be more impressive if it weren’t for this meddling inflation
• JPMorgan Chase & Co. economists said they now expect the Federal Reserve to raise interest rates next September, becoming the latest on Wall Street to jettison a forecast for the central bank to stay on hold through 2022
  • Investors continue to wait for news on who’ll be the next Fed chair
• The Lanham Act of 1940 was the only time the U.S. government has ever offered an affordable child-care solution for working parents. Biden’s plan could be the next
• The leaders of the U.S., Canada and Mexico will hold their first in-person meeting since Biden’s election on Thursday, with skirmishes looming over energy and trade as the nations emerge from the pandemic
• Higher interest rates in advanced economies risk destabilizing emerging markets in 2022, according to Bloomberg Economics
• This year’s product shortages and supply-chain snarls revealed the fragility of the $5.2 trillion trade finance network that helps fuel the global economy, according to a new report produced by McKinsey & Co
  • The high price of ocean shipping could soon translate into a 1.5% increase in global consumer prices in 2023, with smaller, trade-dependent countries potentially suffering the most, according to the United Nations Conference on Trade and Development
• Finally, check out the latest Stephanomics podcast from Bloomberg’s New Economy Forum

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