That's the core method by which the Fed can slow inflation. Under Carter it took balls of steel to allow the Fed rate to exceed 20% in order to reign in the economy. I can see signs in mortgage rates that they're creeping upward, but that's ahead of Fed moves so it's probably not indicative of anything. Those fluctuations happen all the time. I'm waiting to see the Fed make a bold move in some way to drive up rates, which drives up lending costs, variable rate credit card rates, and squeezes investment because businesses have loved this cheap money for a couple decades.
That's the core method by which the Fed can slow inflation. Under Carter it took balls of steel to allow the Fed rate to exceed 20% in order to reign in the economy. I can see signs in mortgage rates that they're creeping upward, but that's ahead of Fed moves so it's probably not indicative of anything. Those fluctuations happen all the time. I'm waiting to see the Fed make a bold move in some way to drive up rates, which drives up lending costs, variable rate credit card rates, and squeezes investment because businesses have loved this cheap money for a couple decades.