Powell just said at his testimony that he is inclined to raise interest rates at 25 basis points

[JohnSJ]

This should lessen some uncertainty whether the Fed was going to raise the interest rate 25 or 50 basis point

[SoCalDavidS]

1. There Was No Way They We're Going To Do 1/2%

More disinformation manipulation. They are slow walking the whole thing. Won’t be surprised if by 2023 they start lowering it back towards zero. Got to keep the stock market happy.

[JohnSJ]

3. A lot of analysts were pushing that idea, and so was Bullard

[SoCalDavidS]

5. They Were Also Pushing Idea Of 5-6 Hikes This Year

I’ll be shocked if there are more than 3.

[Johnny2X2X]

2. Needs 50

But 25 will help.

[JohnSJ]

4. Not at this stage with Ukraine and gas prices at all time highs

[Johnny2X2X]

6. Raising fights inflation.

We have an overheated economy right now. Reigning it in a little is needed. This will also help lower prices. 50 would fight inflation better than 25. But I get the measured action.

[House of Roberts]

8. Raising interest rates only improves inflation

if the inflation is caused by broad prosperity of consumers. We don't have that. This is what the Fed screwed up in the 70s, which caused stagflation. In the 70s inflation was a result of external cost increases the same as it is now.

No economist has made a comparison between aggregate demand now and from before the pandemic, but unless aggregate demand is considerably higher now, there is no way raising interest rates will help.

[orwell]

7. Very market friendly...

...probably due to the international situation.

[JohnSJ]

9. No doubt