FT News Briefing Fed upgrades growth forecast, how Stripe became Silicon Valley’s most valuable company
Mar 18, 2021
Federal Reserve officials have significantly upgraded their growth forecast, reflecting optimism for the economy. Meanwhile, Microsoft is facing scrutiny over a cybersecurity breach, raising concerns about potential leaks from its partners. The spotlight also shines on Stripe, which skyrocketed to become Silicon Valley's most valuable private company with a staggering $95 billion valuation. This success is attributed to its innovative approach to online payments and a robust engineering culture, especially during the pandemic's surge in digital transactions.
AI Snips
Chapters
Transcript
Episode notes
Fed's Confident Outlook
- The Fed upgraded its 2021 US growth forecast to 6.5% but won't raise interest rates until at least 2024.
- This reflects the Fed's new framework of letting inflation run above 2% and keeping rates low.
Fed's New Framework
- The Fed's decision to keep interest rates low despite strong growth forecasts reflects its new framework.
- This framework prioritizes letting inflation run above 2% and achieving maximum employment.
Microsoft Cyberattack
- Microsoft is investigating a cyberattack where hackers exploited vulnerabilities in its Exchange email application.
- Initially used for espionage, the attack escalated as hackers scanned the internet to compromise vulnerable servers.