America Desperately Needs Lower Rates to Pay its Rising Bills

A development of new homes in Eagleville, Pa., is shown on Friday, April 28, 2023. The Federal Reserve's rate hikes have led to higher costs for many loans, from mortgages and auto purchases to credit cards and corporate borrowing, and have heightened the risk of a recession. Matt Rourke/AP

Commentary

Not much has changed in the past month to convince the markets that the Fed is completely done raising rates. Last week’s inflation and retail sales data, chip-sector theatrics, and a host of industry conferences did little to change that. All it did was raise the level of hand wringing before the Fed meeting this week.