US Economic Update This 2023!
There was a concern about potential inflation this year due to the slowing economy. However, so far, we have reached the halfway point of 2023 without it becoming a problem. This is surprising because with the significant rate hikes of 500 basis points (5%), one would expect a more pronounced slowdown in the economy and increased costs of capital, which should hinder business activity. The fact that the economy remains stable even after such rate hikes suggests that maybe they are not restrictive enough, giving the Federal Reserve more leeway to continue raising rates.
Watch more of this short video from Wait, Inflation Is Going To Start RISING Again This Summer? | Jim Bianco.
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