Stock Futures Drop Ahead of Fed’s Favored Inflation Gauge

US stock futures fell as investors rebalanced portfolios ahead of the end of a grueling first half and awaited a gauge of inflation that Federal Reserve officials consider their preferred measure of rising prices. Futures tied to the S&P 500 dropped 1.4%, a day after indices finished slightly changed. Dow Jones Industrial Average futures fell … Read more

How to Invest Your Cash for the Best Yields, Without Too Much Risk

Inflation is stubbornly high and interest rates on savings accounts aren’t anywhere close to keeping pace. While the yield on a two-year Treasury is now 3.28%, up from just 0.17% a year ago, the average savings account is barely in positive territory at just 0.07%, according to personal-finance website Bankrate. For investors hanging onto cash, … Read more

Larry Summers was the first to sound the alarm on inflation. More economists are applying his methods

Graham Allison is the Douglas Dillon professor of government at Harvard University Is the US economy headed for a hard landing? US Federal Reserve chair Jerome Powell says no. At the Federal Open Market Committee’s 4 May press conference, he insisted that the Fed will manage a “softish” landing. To the contrary, former Treasury Secretary … Read more

The Fed Wants to Raise Rates Quickly, But May Not Know Where to Stop

Federal Reserve Chairman Jerome Powell is shifting monetary tightening into a higher gear. His goal sounds straightforward — lift interest rates to “neutral,” a setting that neither spurs nor slows growth. But there’s a catch: Even in normal times, no one knows where this theoretical level is. And these aren’t normal times. There are good … Read more

Municipal Bonds Are Down So Much That They’re Buys Again

Text size Al Drago / Bloomberg A funny thing happened in the past week, as news emerged of inflation hitting a four-decade high. A few strategists started looking a bit more positively on bonds, or at least somewhat less negatively. March consumer prices were 8.5% above their level a year earlier, while producer prices were … Read more

Ukraine was risking inflation spike, Fed’s Powell warns

Federal Reserve Chairman Jerome Powell said that Russia’s invasion of Ukraine was likely to push up inflation, a setback to central bank expectations that price pressures would diminish in the coming months. Because of Russia’s role in global energy and other commodity markets, “we’re going to see upward pressure on inflation at least for a … Read more