GEAB 169
As expected, with the mid-terms soon behind us, the Fed is starting to prepare for a slowdown in monetary tightening in December.[1] Goldman Sachs is trying to make it look like inflation will fall in 2023[2] – presumably to encourage the Fed to slow down. Again, the tightening of rates only has a marginal effect on inflation. The ‘good’ news in this respect is relative and some voices are already being raised about the impact of the anticipated rise in petrol costs on the purchasing power of American households,[3] which are much more dependent on their vehicles than Europeans.
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