Clouds gather over the US Capitol in Washington on December 10 when the Senate passed legislation creating a fast track to raising the nation’s debt ceiling. The US government’s rising fiscal debt is a factor that could constrain the Fed’s ability to raise interest rates. Photo: Bloomberg
Opinion
Opinion
Why the Federal Reserve is taking a modest approach to raising interest rates
- The Fed’s more aggressive policy-tightening stance is not surprising in the face of US inflation
- However, the expected interest rate rises two or three times a year seem relatively restrained given that unemployment is not a huge concern
Clouds gather over the US Capitol in Washington on December 10 when the Senate passed legislation creating a fast track to raising the nation’s debt ceiling. The US government’s rising fiscal debt is a factor that could constrain the Fed’s ability to raise interest rates. Photo: Bloomberg
