Former Treasury Secretary Lawrence Summers says he wasn't surprised to see that US inflation rose in March, but the Federal Reserve should not be cutting interest rates now. “On current facts, a rate cut in June it seems to me would be a dangerous and egregious error comparable to the errors the Fed was making in the summer of 2021,” Summers said on Bloomberg Television’s Wall Street Week with David Westin .
Traders slashed bets on Federal Reserve interest rate cuts on Wednesday after US inflation surpassed expectations and Joe Biden acknowledged there was “more to do” on fighting price rises.
Bond yields jumped, stocks slid and markets pushed back their forecasts of summer rate cuts after official data showed a 3.5 per cent increase in consumer prices for the year to March.
is there a hope to cut interest rates?
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