Powell and the Fed may be prone to the same mistakes that stoked inflation in the 1970s

Peter Morici Last Updated: April 25, 2023 at 1:45 p.m. ET First Published: April 25, 2023 at 7:05 a.m. ET U.S. central bank acts serious about taming inflation, but easy money beckons MarketWatch photo illustration/Getty Images, iStockphoto U.S. Federal Reserve Chairman Jerome Powell faces a tough row to hoe fending off politicians who favor easy-money policies

Financial Press

Published

April 25, 2023

powell-and-the-fed-may-be-prone-to-the-same-mistakes-that-stoked-inflation-in-the-1970s

Peter Morici

Last Updated: April 25, 2023 at 1:45 p.m. ET First Published: April 25, 2023 at 7:05 a.m. ET

U.S. central bank acts serious about taming inflation, but easy money beckons

MarketWatch photo illustration/Getty Images, iStockphoto

U.S. Federal Reserve Chairman Jerome Powell faces a tough row to hoe fending off politicians who favor easy-money policies while maintaining the stability of the nation’s banking system and lowering U.S. inflation to 2%.

From 1979 to 2009, annual increases in the consumer price index averaged 4% vs. 1.8% in the 2010s. Now the U.S. may be reverting back to that prior norm.

The…

In this article:Featured, top stories

Mining

Piedmont Lithium adds two new directors to board; stock soars

NAL spodumene concentrate production remains targeted for H1 2023 with revenue potential in Q3 2023. Credit: Piedmont Piedmont Lithium (Nasdaq: PLL; ASX: PLL) announced...

Financial PressJanuary 4, 2023

Stocks

BlackBerry, Oracle, Kroger are stocks to watch

SAN FRANCISCO (MarketWatch) — Among the companies whose shares are expected to see active trade in Thursday’s session are BlackBerry Ltd., Oracle Corp., and...

Financial PressDecember 21, 2022

sendmarc-nabs-$7m-to-offer-email-protection-from-phishing-attacks-and-email-impersonation

Tech

Sendmarc nabs $7M to offer email protection from phishing attacks and email impersonation

Over 90% of cybercrime activities that lead to financial fraud or identity theft start with an email impersonation, commonly known as phishing and spoofing....

Financial PressFebruary 9, 2023

6 value stock picks for 2023 from successful money managers

Following a down year for the stock market, there is no shortage of recession predictions for 2023, especially as the Federal Reserve has signaled...

Financial PressJanuary 9, 2023