Wall Street gets a reprieve on 2 of its biggest worries about the economy
|03/13/2018||Posted by BusinessMediaguide.Com under General World News||
The Fed has telegraphed its intention to raise interest rates three times this year. Wall Street, accustomed to the stunted optimism of recent years, shifted rapidly from not believing officials would move more than twice to suddenly pricing in the possibility of four interest rate hikes for 2018.
The latest inflation figures should, at the very least, assuage worries that the central bank will need to react more rapidly to an unexpected spike in consumer prices — and/or wages.
- Two of Wall Street’s biggest worries on the economy, inflation and wage growth, showed signs of moderation in February.
- Labor Department data shows not only a subdued inflation trend but also suggests wage growth is moderating rather than picking up steam.
Diplomatic tensions with North Korea. A criminal investigation into possible conspiracy against the United States. The sudden, unexpected firing of Secretary of State Rex Tillerson.
Such massive turbulence has barely registered on the market’s radar. Instead, traders are fretting over the possibility that slightly higher inflation might drive the Federal Reserve to raise interest rates more aggressively, possibly compromising the read more >>>