AnalysisEconomy / Finance

Fed starts to Signal Recession fears

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Inflation always leads to recession, when consumers can’t pay higher prices and businesses can’t maintain profit margins Over the past 3 Days the Federal Reserve’s tone has turned “hawkish,” St. Louis Federal Reserve Bank President James Bullard said on June 18, prompting the fifth decline in U.S. broad equity indices in a row. Bullard told CNBC, “We’re expecting a good year, a good reopening. But this is a bigger year than we were expecting, more inflation than we were expecting. I think it’s natural that we’ve tilted a little bit more hawkish here to contain inflationary pressures.” The St. Louis…

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