Federal Reserve
“Do you know what’s worse than high prices and a strong economy? It is high prices and millions of people out of work," the senator said of the Fed's impending hike.
Federal Reserve Chair Jerome Powell delivered a stark message Friday: The Fed is determined to fight inflation with more sharp interest rate hikes, which will likely cause pain for Americans in the form of a weaker economy and job losses.
Defying anxiety about a possible recession and raging inflation, America’s employers added a surprising 528,000 jobs last month.
Consecutive quarters of falling GDP constitute one informal, though not definitive, indicator of a recession.
WHAT'S HAPPENING
The Federal Reserve is under pressure to continue raising interest rates aggressively with inflation at a four-decade high, the job market strong and consumers still spending.
Surging prices for gas, food and rent catapulted U.S. inflation to a new four-decade peak in June.
Economists warn of possible collateral damage as the central bank hikes interest rates to kill inflation.
The Democratic senator said more increases could mean a recession with "millions of people out of work."
Fed chair Jerome Powell thinks the labor market is strong enough to withstand higher borrowing costs without suffering widespread job losses.
The Federal Reserve intensified its drive to tame high inflation by raising its key interest rate by three-quarters of a point — its largest hike in nearly three decades.