Tech Stocks Are Soaring Despite Weak Earnings. Here’s What It Means.

Investors have concluded that the Federal Reserve’s aggressive campaign to raise interest rates is almost finished—and the market’s pendulum has swung decisively back to greed from fear. “We’re going to help our customers find a way to spend less money,” Jassy said. Read More...


Is blowout jobs a headache for the Fed, or a back-to-2019 gift?

A blowout January employment report and continued record numbers of job openings have left the U.S. Federal Reserve with a growing dilemma of whether to take its cue about future inflation from a labor market that seems to remain on fire or take solace in the fact that, at the same time, wage growth continues to cool. The dissonance in the data – continued high demand for workers coupled with some easing in wage inflation – will be a key puzzle for policymakers to resolve as they plot their next interest rate moves. For the Fed, the question is whether the economy can continue from here to the low inflation, low unemployment days seen before the coronavirus struck in 2020, or whether a continued decline in inflation will require a looser labor market and higher joblessness.

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