Battered Stock Traders Brace for $1.9 Trillion Option Expiration

Reuters

Strong household finances may mean Fed must do more: Kashkari

“Are these stronger balance sheets leading people to spend more, or be more confident, to just change their behavior, their spending patterns, and is that more sustainable – in which case maybe the Fed has to be even more aggressive,” Kashkari told the Urban Institute. That could mean difficult tradeoffs for the Federal Reserve, which is already raising rates faster than it has in decades to cool inflation running at a 40-year high. Fed policymakers expect to get the target range for short-term interest rates, now at 0.75%-1%, a full percentage point higher by July, with more though potentially smaller rate hikes to follow.