When Will the Fed Stop Raising Rates? The Number to Watch. - BitcoinEthereumNews.com
KabuhayanKailan Hihinto ang Pagtaas ng mga Rate ng Fed？ Ang Numero na Panoorin.05 / 07 / 2022Balita ng Ethereum ng Bitcoin Problems in the supply chain are among the factors boosting inflation. Mga rate ng interes ay tumataas—slamming the stock market—as the Federal Reserve tries to tamp down inflation not seen in generations. Watching the markets expectations for how fast prices will rise is one way to get a sense of when the pressure from the central bank might abate. The current rate of Inflation of above 8% is way too high. The good news for investors is that inflation expectations arent anywhere near that level. If they were, the Fed would have a much tougher job getting the pace of price increases back to its target of 2%. Rates would have to rise much higher to slow the economy enough to keep companies from raising prices and workers from demanding higher pay to make up for that. A good way to track inflation expectations is to look at the difference in yields between regular Treasury bonds and Treasury inflation-protected securities, or TIPS. Treasury bonds are easy to understand. They pay interest twice a year and give investors back the face value at maturity. TIPS‘ face