episode-header-image

Jun 2022

19m 43s

The Fed’s big swing at inflation

Financial Times

About this episode

The Federal Reserve announced its largest interest rate increase since 1994. And it's the equivalent of the US central bank taking a baseball bat to the economy, according to the FT’s US financial commentator Robert Armstrong.

In this week’s episode, Armstrong is helping us to make sense of the Fed’s announcement. He’ll explain what the recent hike means for the economy and for investors, and tell us whether or not we should be freaking out.

- - - - - - - - - - - - - - - - - - - - - - - - - -

For further reading:

How fast is the US economy slowing?

Bear market to the rescue

Time for strong medicine: How central banks got tough on inflation

- - - - - - - - - - - - - - - - - - - - - - - - - -

Sign up here to get the Unhedged newsletter sent straight to your inbox every weekday.

On Twitter, follow Robert Armstrong (@rbrtrmstrng)

Read a transcript of this episode on FT.com

Hosted on Acast. See acast.com/privacy for more information.

Up next

What’s the deal with OpenAI's deals?

<p>OpenAI is entering a new era. It's restructured to add a for-profit arm to its business and has signed more than a trillion dollars’ worth of deals to secure chips and build out data centres. But those huge financial commitments also raise massive questions: How will a heavily ... Show More

Pfizer and Novo Nordisk’s $10bn battle over weight-loss drugs

Pharma juggernauts Pfizer and Novo Nordisk are struggling in the obesity drug race.The two companies are searching for their next moneymaker, and that search recently spun out into a ferocious, multibillion-dollar battle for control of biotech start-up Metsera. The FT’s US deals ... Show More

The $17bn nuclear start-up without any revenue

Publicly-listed Oklo sits at the intersection of two hot areas for Wall Street: artificial intelligence and energy companies. This year alone, Oklo’s share price has jumped more than 400 per cent. But the business hasn’t generated any revenue. It hasn’t built a nuclear reactor, a ... Show More

Recommended Episodes

Is the Fed Thinking About Inflation All Wrong?

For over a decade, America’s central bank has had an inflation target of 2%. On Wednesday, the Federal Reserve announced that it would keep its main interest rate unchanged in order to try and get inflation to that magic number. But what if the Fed is thinking about inflation all ... Show More

Andrew Sheets: The Fed Shuffles Toward the Exit

<p>This week, the Fed hinted that a taper announcement in November could be in store, adding one more wrinkle into events that investors will need to navigate this fall.</p><p><br></p><p>----- Transcript -----</p><p>Welcome to Thoughts on the Market. I'm Andrew Sheets, Chief Cros ... Show More

What the Fed's Big Balance Sheet Unwind Means for Markets

The Federal Reserve recently began shrinking its massive balance sheet, unwinding trillions of dollars worth of bond purchases that it started making during the depths effort to offset the effects of the Covid-19 pandemic. It's not the first time that the Fed has undertaken 'quan ... Show More

MM104: Silicon Valley Bank (SVB) contagion fears spark a global banking sell-off

<p>In this episode, we take a look at what exactly happened to SVB and why the collapse in their share price on Thursday rippled through the banking sector resulting in the largest four US banks losing some $47bn of market value in just one day.</p><br><p>Was the move justified? ... Show More

The Fed is in focus today

<p>Several data releases yesterday showed encouraging signs that the Federal Reserve’s interest rate hikes over the past year have begun to slow inflation. Investors are now eagerly awaiting today’s interest rate decision from the US and subsequent comments from Fed Chairman Jero ... Show More

Listen to millions of songs and podcasts on Anghami