Expect Higher Inflation Amid Banking Crisis

The inflation that’s already hit too many people too hard is only going to get worse aid the banking crisis. As banks collapse and the Federal Reserve “bails them out” by printing more fiat currency, the central banksters also plan to continue to raise interest rates.

A recession or depression is all but imminent at this point. The ruling class is doing what it can to harm as many people financially as possible so those affected will willingly accept the chains of their own oppression in the form of a central bank digital currency (CBDC). The Federal Reserve will also decide whether and by how much to raise interest rates this week at a moment when banks are on the brink of collapse and insolvency.

The Endgame: Central Bank Digital Currency

On Sunday, the Fed pumped up its program that keeps dollar financing flowing around the world, its second move in a week to shore up the financial system. The previous Sunday, it unveiled an emergency lending program meant to serve as a relief valve for banks that need to raise cash.

Fed officials will have to make their next move against a backdrop of banking system instability. They could try to balance the risk of lasting inflation against the risk of causing financial turmoil — raising rates more slowly and stopping earlier to avoid fueling more tumult. Or they could try to separate their inflation fight from the financial stability question altogether. Under that scenario, when it came to setting the level of interest rates, the Fed would pay attention to banking problems only inasmuch as they seemed likely to slow down the real economy. -The New York Times

We should expect at least a quarter-point increase in rates according to Wall Street economists.

“You lose time on the fight against inflation if you wait,” said Michael Feroli, the chief U.S. economist at J.P. Morgan. Still, Mr. Feroli had expected the Fed to raise its forecast for how high it would nudge rates this year, and he now expects them to leave their peak rate estimate unchanged at about 5 percent. But a few thought the Fed would hit pause, including economists at Goldman Sachs.

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