Why the Fed faces new risks in its inflation fight amid recession fears  ...Middle East

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Why the Fed faces new risks in its inflation fight amid recession fears 
source : The Hill ( Middle East ) () 19
The Federal Reserve is expected to raise interest rates by a quarter-percentage point at its meeting on Wednesday, entering a high-stakes chapter in its battle against high inflation. The central bank is on track to issue its smallest rate hike since March 2021, when the Fed began aggressively boosting borrowing costs and slowing the economy into lower price growth. But the Fed faces serious risks on both sides of a potential pause to rate hikes. If the Fed stops too soon, bank officials fear that high inflation could become entrenched. If it stops too late, the central bank could trigger a serious, job-killing recession. Adding to the uncertainty is the fact that the Fed’s rate

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