World shares advance after Fed steps up stimulus pullback

Stocks have climbed in Europe and Asia, tracking Wall Street’s gains, after the Federal Reserve said it would accelerate its pullback of economic stimulus. Shares surged in Paris, Frankfurt, London and Tokyo. New York futures and oil prices also advanced. The Fed said it would likely raise interest rates three times next year to tackle rising inflation and will shrink its monthly bond purchases at twice the pace it previously announced, in line with ending them altogether in March. While the U.S
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Fed to Pivot to Fast Taper, More Rate Hikes: Decision-Day Guide

(Bloomberg) — Sign up for the New Economy Daily newsletter, follow us @economics and subscribe to our podcast.Most Read from BloombergZero Taxes, Golf and Beach Houses Create a Crypto Island ParadiseCan Indoor Farms Reach Skyscraper Height?China Is Building the World’s Largest National Park SystemBoris Johnson’s Furious MPs Worry That His Next Misstep Could Be FatalFederal Reserve policy makers are poised to accelerate their removal of monetary stimulus as a step toward the first interest-rate
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Fed Hikes Seen Starting With Yield Curve Flattest in Generation

(Bloomberg) — The Federal Reserve is laying the groundwork for the start of a cycle of interest-rate hikes that the bond market warns might be unusually constrained in how far it can go, setting the two on a collision course where one will eventually have to give.Most Read from BloombergZero Taxes, Golf and Beach Houses Create a Crypto Island ParadiseAnatomy of a Bad RoadChina Is Building the World’s Largest National Park SystemBoris Johnson’s Furious MPs Worry That His Next Misstep Could Be Fa
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Analysis: Fed’s “hot” economy experiment offers historic bet on a soft landing from high prices | Reuters

The U.S. Federal Reserve’s experiment with running a “hot” economy has edged into historically uncharted territory, with an unemployment rate never reached without associated central bank rate increases and now levels of inflation that in the past also prompted a policy response.
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Inside the Federal Reserve’s fight to control inflation

In 2021, inflation rose at a rate not seen in more than three decades. Congress gave the Federal Reserve a mandate to maintain stable prices. The bank, with its power to lend and set interest rates, is getting a test in the form of a snarled supply chain and a world continuing to recover from the Covid pandemic. As a result, economists across the spectrum wonder if the Fed can control this bout of price spikes.
— Read on www.cnbc.com/video/2021/12/07/inside-the-federal-reserves-fight-to-control-inflation.html