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The Fed Must Teach Markets a Lesson on Inflation

“The Boston district noted tight labor markets and potential wage increases, but no contacts said they planned substantial prices increases” writes Albert R for bloomberg.com. Instead, you’re free to ignore inflation pressures and stick to stock repurchases, letting the Fed handle inflation for you.The second reason is that businesses don’t believe the Fed is credible on inflation and are gaming the economic cycle.Officials keep saying they will let inflation veer above 2 percent.
 
Source: bloomberg.com



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