Weekly Wrap

Weekly Wrap: Janet Yellen cries hawk

Molly Wood Aug 26, 2016
HTML EMBED:
COPY
Despite the slowing growth rate, Federal Reserve Board Chair Janet Yellen voiced optimism about the economy at the central bank's annual Jackson Hole summit. Win McNamee/Getty Images
Weekly Wrap

Weekly Wrap: Janet Yellen cries hawk

Molly Wood Aug 26, 2016
Despite the slowing growth rate, Federal Reserve Board Chair Janet Yellen voiced optimism about the economy at the central bank's annual Jackson Hole summit. Win McNamee/Getty Images
HTML EMBED:
COPY

Markets closed mixed after Federal Reserve Board Chair Janet Yellen said interest rates definitely, could, maybe go up in the next few to several months, probably. That kind of vagueness is nothing new.

Specifically, Yellen said during her speech in Jackson Hole, Wyoming, today that “the case for an increase in the federal funds rate has strengthened in recent months.” We tried to parse that statement on the Weekly Wrap today. Is the Fed crying wolf? Redfin’s Nela Richardson argued it might be crying hawk — that is, acting like it will raise rates twice this year, but backing out at the first sign of trouble.

Click the audio player above to listen to their conversation.

We’re here to help you navigate this changed world and economy.

Our mission at Marketplace is to raise the economic intelligence of the country. It’s a tough task, but it’s never been more important.

In the past year, we’ve seen record unemployment, stimulus bills, and reddit users influencing the stock market. Marketplace helps you understand it all, will fact-based, approachable, and unbiased reporting.

Generous support from listeners and readers is what powers our nonprofit news—and your donation today will help provide this essential service. For just $5/month, you can sustain independent journalism that keeps you and thousands of others informed.