
The Intelligence from The Economist Independence Jay? Inflation and attacks on the Fed
Jan 14, 2026
Archie Hall, U.S. economics editor at The Economist, dives into the current inflation landscape and the Fed's balancing act amid political pressure, warning about the risks to central-bank independence. John Peet, Brexit editor, shares insights on the lasting economic impact of Brexit, noting significant GDP losses while highlighting some areas of resilience. Catherine Nixey, culture correspondent, explores how the evolution of self-help books reflects societal anxieties, advocating for 'un-selfing' activities as a remedy for today's pressures.
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Inflation Stalled Just Above 2%
- US inflation sits around 2.6–2.7% and has been stubbornly above the Fed's 2% target.
- Archie Hall says squeezing that last bit of inflation is harder due to tariffs and other sticky components.
Fed Balances Inflation And A Wobbly Jobs Market
- The Fed faces a trade-off between slightly high inflation and a weakening labour market.
- Archie Hall notes Fed members project only modest rate cuts amid this balancing act.
Powell's Rare On-Camera Rebuke
- Jerome Powell publicly rebuked the DOJ probe as a threat to Fed independence.
- Archie Hall describes Powell's on-camera statement as an extraordinary step responding to political pressure.
















