The Fed's Negative Position on Inflation

The Fed, under Jay Powell, was essentially asleep at the wheel and only woke up much too late to the inflationary pressures that had been unleashed. The market doesn't believe Jay Powell when he and his colleagues say they're going to raise rates some more. That's not what the market thinks is going to happen. And so there's a big, I think a big tension between what the Fed is saying and what the market's expecting. This is a credibility problem, which is very, very fundamental.

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