Weekly Wrap: The Federal Reserve and the debt talks

Marketplace Staff Jul 15, 2011
HTML EMBED:
COPY

Weekly Wrap: The Federal Reserve and the debt talks

Marketplace Staff Jul 15, 2011
HTML EMBED:
COPY

Kai Ryssdal talks with Leigh Gallagher from Fortune magazine and Sudeep Reddy from the Wall Street Journal.

On Ben Bernanke’s latest back-and-forth remarks:

Sudeep Reddy: It is pretty confusing. And the difference was the number of questions he got on one day versus the other on this particular issue. He’s really in this careful dance right now, trying to improve the public’s confidence without sounding terrified about this latest slowdown. He wants to show that the Fed isn’t out of tools entirely.

On why the markets don’t seem to be affected by the debt talks:

Leigh Gallagher: I think the Fed has a singular ability to move markets more than almost anybody else. I think much of the talk in Washington is so political, and I think the markets realize that. And I think there is an expectation that we’re not going to default; that this is all show and theater.

For more, click on “Listen to this story” at the top of the page.

There’s a lot happening in the world.  Through it all, Marketplace is here for you. 

You rely on Marketplace to break down the world’s events and tell you how it affects you in a fact-based, approachable way. We rely on your financial support to keep making that possible. 

Your donation today powers the independent journalism that you rely on. For just $5/month, you can help sustain Marketplace so we can keep reporting on the things that matter to you.  

Need some Econ 101?

Our new Marketplace Crash Course is here to help. Sign-up for free, learn at your own pace.