What we think the Fed thinks about the economy.

From Marketplace, I'm Sabri Beneshor, Infra-David Brancaccio.

The Federal Reserve begins two days of meetings today.

The point of these meetings is, of course, largely to decide what to do in terms of monetary

policy, what to do with interest rates.

High interest rates fight inflation, but they can also send an economy into recession.

We've got Dr. David Kelly, Chief Global Strategist at JP Morgan Funds here to talk about

it.

Hi, Dr. Kelly.

Good morning.

I know that we learned from these meetings is where the Fed thinks the economy is going.

Why is that particularly important?

I think one of the greatest risks that faces the U.S. economy right now is that Fed over

does it on pushing interest rates too high and actually calls the recession next year.

So it's pretty important to see what they're thinking and particularly to try and assess

whether they're actually thinking correctly about the economy.

Last time around, they predicted the economy would grow about 1% in the fourth quarter.

Do you think they're going to change that?

Yes.

You can say that that 2023, the U.S. economy has been much more resilient, but we're still

seeing some growing pressures in the economy here.

So we still think of slowdowns coming.

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