Why Shouldn't the Fed Resume Raising Rates?

Why Shouldn't the Fed Resume Raising Rates?

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Interactive Video

Business

University

Hard

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The video discusses the current economic climate, focusing on the stability of markets post-Brexit and the factors influencing the Federal Reserve's decision on interest rate hikes. It highlights the debate on whether to increase rates to create room for future cuts, with concerns about potential recession risks. The discussion also covers the yield curve's impact on financial stability and the role of economic uncertainty from Brexit and the US elections. Finally, it examines US economic indicators and conditions that might prompt the Fed to adjust interest rates.

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2 questions

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1.

OPEN ENDED QUESTION

3 mins • 1 pt

What is the significance of the yield curve in relation to interest rate changes?

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2.

OPEN ENDED QUESTION

3 mins • 1 pt

What conditions would make the Fed more comfortable in moving interest rates?

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