Surging interest rates are intensifying the challenges for the U.S. economy and threatening to derail the Federal Reserve’s drive to tame inflation without causing a deep recession.
Most Federal Reserve officials last month still regarded high inflation as an ongoing threat that could require further interest rate increases, according to the minutes of their July 25-26 meeting released Wednesday.
After the Fed began aggressively raising borrowing costs early last year, most economists predicted it would send the economy crashing.
While the Fed is desperately hoping for a ‘soft landing’ for the United States, it looks like it’s becoming harder to avoid a recession.
