Federal Reserve Moving in Hawkish Direction, Former Vice Chair Blinder Says

The transcript discusses the Federal Reserve's potential actions in response to inflation, including interest rate hikes and balance sheet adjustments. It highlights the Fed's current dovish stance moving towards hawkishness, the impact of inflation on different economic groups, and the Fed's satisfaction with the labor market. The discussion also covers the uncertainty in markets due to the Fed's balance sheet plans and the potential for more aggressive rate hikes if inflation surprises.

What does the speaker suggest about the labor market's current state?

What is the significance of the Federal Reserve's balance sheet in the context of market expectations?

In what ways does inflation affect different socioeconomic groups according to the discussion?