Category: Banking and Financial Institutions

10 Ways to Explain Why Interest Rates Are So High

The New York Times – Business:
If you can’t pin down why something’s happening, you don’t have much hope of fixing it.
Japan Raises Interest Rates to 31-Year High Under U.S. Pressure

The New York Times – Business:
The Bank of Japan’s widely expected move followed an unusual campaign by Treasury Secretary Scott Bessent for tighter monetary policy.
Bank of England Holds Rates Steady but Warns of Inflation Pressures

The New York Times – Business:
The decision was announced a day after data showed the fastest pace of price increases in months.
Fed Meeting Will Test Central Bank’s Credibility With Bond Investors

The New York Times – Business:
If the Fed opts against raising interest rates on Wednesday, investors will probably increase their forecasts for inflation, injecting new turmoil into the government bond market.
Why the Fed Might Raise Interest Rates When Borrowing Costs Are Surging

The New York Times – Business:
Elevated interest rates have raised the cost of mortgages and car loans without dampening consumer spending.
The World Economy Is Becoming Wary of the U.S.

The New York Times – Business:
America’s position of global economic stability is starting to look shakier as the Trump administration piles on debt and doubles down on sanctions.
Warsh Set for Showdown With Trump as Fed Faces Pressure to Raise Rates

The New York Times – Business:
The Federal Reserve is expected to raise interest rates on Wednesday, putting Kevin M. Warsh, the chairman, at odds with the administration just before the midterms.
European Central Bank Raises Rates in Bid to Quell Inflation

The New York Times – On the Runway:
The bank, fighting price pressures spurred by the war in the Middle East, raised its benchmark rate to 2.5 percent.
Help! We Canceled a Vacation Rental 2 Years Ago. Where’s Our $13,000?

The New York Times – Travel:
In July 2024, a couple used Booking.com to reserve two apartments in Hawaii, but quickly changed their minds. Getting a refund was no day at the beach.
Treasury Plans $6 Billion in Debt Repurchases to Battle Rising Yields

The New York Times – Business:
Bond yields rose after the announcement, suggesting investors were underwhelmed by the size of the purchases.
Trump Threatens to Halt Some Trade Unless the Fed Cuts Rates

The New York Times – Business:
The president said he could halt trade between the United States and countries with which it has a trade deficit if the central bank doesn’t do his bidding.
The Bond Markets Are Pushing Up Rates. Will Central Banks Follow?

The New York Times – Business:
Around the world, rising bond yields reflect shifting expectations on how fast policymakers will raise interest rates.