Markets may be in for an ‘enormous shock’ as the Fed could have to kick up interest rates to a 40-year high to fight inflation, strategist says

MarketsInsider/Carla Mozee/2-14-2023

“Disinflation is a ‘fiction” and US monetary policymakers may need to nearly double borrowing rates from current levels to tamp down hot inflation, a move that would rock markets, according to a strategist at financial research firm Macro Hive.”

USAGOLD note: Out of the blue during his last press conference, the Fed chairman started tossing around the word “disinflation”. Wall Street collectively scratched its head. Macro Hive’s Dominique Dwor-Frecaut says the Fed may have to drive its key lending rate to 8% to tame  inflation, and that’s not something she “plucked out of thin air.”

This entry was posted in Today's top gold news and opinion. Bookmark the permalink.