How high will the Fed have to push up interest rates to cool down inflation? No one knows

One of the most vexing questions for Federal Reserve policy makers is just how high they will have to push up interest rates to cool down the U.S. economy and inflation. This projected peak in the Fed’s benchmark interest rate is called the “terminal rate” by economists.

At the moment, if you ask 100 economists what the terminal rate is, you’re likely to get 100 answers.

“Nobody…

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