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The Fed May Induce a Recession in the US: Why is it a Concern for India? | Vantage with Palki Sharma
The Fed May Induce a Recession in the US: Why is it a Concern for India? | Vantage with Palki Sharma
Recently, America's Central Bank- the US Federal Reserve or the Fed decided to not cut interest rates. The decision has led to fears among economists. They believe the Fed may end up inducing a recession - in a bid to cool down inflation. According to the Fed's recent data, the prices of essential goods continue to remain high in the country. The Fed's Chairperson has said "recent readings on both gains and inflation have come in higher than expected." India, too, is worried about these developments in America. A top banker in the country has warned of a "global turbulence", as inflation remains a concern for central banks around the world. In its recent assessment, India's Reserve Bank has identified three major factors- oil prices, geopolitical tensions and volatility in financial markets-as potential risks. How can a recession in the US impact the global economy? Palki Sharma brings you an assessment.
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