Inflation dip puts central bankers in a pickle
Viewsroom
Reuters
4.4 • 58 Ratings
🗓️ 27 July 2023
⏱️ 16 minutes
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| 0:00.0 | AI is incredible. They can teach you how to fry an egg and even write a poem, pirate style. |
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| 0:28.8 | to learn more. The views expressed on this podcast are those of the participants, not of Rogers News. |
| 0:39.0 | We're going to be making careful assessments, as I said, meeting by meeting. |
| 0:43.9 | And I'll close by saying we've raised the federal funds right now by 525 basis points since March 22. |
| 0:50.3 | Monetary policy, we believe, is restrictive and is putting downward pressure on economic activity and inflation. |
| 0:56.0 | That was Jerome Powell speaking Wednesday as the Federal Reserve raised interest rates once again. |
| 1:03.2 | Other large central banks are also hiking rates, but inflation is coming down without the high unemployment |
| 1:09.3 | and economic pain that typically follows rate rises. |
| 1:13.0 | With inflation still too high, the conundrum facing global policymakers is the focus of this week's |
| 1:19.1 | views room. Welcome back to the views, a podcast from Lloyd's breaking views where columnists |
| 1:26.8 | from around the world |
| 1:27.6 | talk about the big stories of the week. I'm your host, Amy Donnellin, coming to you from London. |
| 1:34.2 | The Federal Reserve once again raised interest rates this week and the European Central Bank |
| 1:38.5 | followed suit. The Bank of England is expected to make a similar move and it's an interesting |
| 1:43.2 | and sort of mysterious |
| 1:44.1 | situation because the recent aggressive monetary policy was deemed necessary to tackle |
| 1:49.6 | double-digit inflation. But what we're seeing is an easing of inflation without the kind |
| 1:54.1 | of economic pain you would typically need, like high unemployment and a general economic squeeze. |
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