The Fed Is Upside Down on Inflation

Last month, inflation surged to a fresh four decade high of nine point one %. The last time the united states suffered nasty bout of inflation, in the 19 eighties, the economic emergency was seen as so dire that the federal reserve jacked up interest rates by as much as three percentage points at a time. Now there's a similar gap between inflation and the federal funds rate, but the relationship is upside down. Faster interest rate hikes will make bonds more attractive to investors, and higher borrowing costs could affect stock prices. Surationa markets coverag jar fom, the wistret journal and c and n stay twu aned four after the break.