The Graphic Truth: 40 years of the Fed's damage control

The Graphic Truth: 40 years of the Fed's damage control
Paige Fusco

In a bid to curb inflation, the Federal Reserve is likely to raise US interest rates by 0.5% at its May meeting. Chairman Jerome Powell also hinted that further rate hikes would follow. The May rise coupled with the quarter percentage point increase last month would be the first time since 2006 that the Fed has hiked the interest rate in consecutive meetings. Criticized by analysts for being slow to tackle inflation, the Fed has said it will begin reducing its $9 trillion asset portfolio by summer — a further effort to reduce stimulus and prices that have hit a four-decade high. We look back at those 40 years of the Fed’s efforts to battle inflation through rate hikes.

More from GZERO Media

A man rides a scooter past a giant screen showing news footage of Chinese President Xi Jinping attending a Chinese Communist Party politburo meeting, in Beijing, China December 9, 2024.
REUTERS/Tingshu Wang

China’s Politburo — the top leadership cabinet — said Monday it would take “more proactive” fiscal measures and loosen up its monetary policy in 2025 as it aims to boost domestic consumption.

HTS leader Ahmed Al-Shara, aka Abu Muhammad Al-Golani, overlooks Damascus, Syria, after the overthrow of Bashar Assad on Dec. 8, 2024.

Balkis Press/ABACAPRESS.COM via Reuters

The Shura Council of Hayat Tahrir al-Sham, or HTS, has appointed Mohammed al-Bashir as interim PM of its proposed 18-month transitional government of Syria. What will his appointment mean for Syria, how are the Kurds faring amid the chaos, and why is Israel making moves inside Syria?

While many investors took a ‘wait-and-see’ approach in the lead up to the election, as the results sets in, investors and businesses are evaluating how recent political shifts will impact market conditions and capital flows in the months ahead. With the election now behind us, will the next administration drive a transaction revival and support new investment opportunities? Analyze election impacts to markets and industries with insights from leading experts on the issues that matter most with Beyond the Ballot, brought to you by RBC Capital Markets.

Jess Frampton

In addition to multiple ongoing conflicts, a year of electoral instability, and pandemic hangovers, the return of Donald Trump as the US president injects further unpredictability into the geopolitics.

KYIV, UKRAINE - DECEMBER 9, 2024 - Head of the Office of the President of Ukraine Andriy Yermak, President of Ukraine Volodymyr Zelenskyy and Deputy Head of the Office of the President of Ukraine Ihor Zhovkva (L to R) attend a meeting with German Chancellor candidate, leader of the Christian Democratic Union Friedrich Merz, Kyiv, capital of Ukraine.
Photo by Ukrinform/Ukrinform/Sipa USA via reuters

President-elect Donald Trump has pledged to end Russia’s war with Ukraine.

- YouTube

What will President-Elect Donald Trump’s election win mean for the US economy? After years of inflation and stagnating wage growth, millions of voters elected Trump off the back of his promise to usher in a “golden age of America.” Trump has vowed to raise tariffs, slash business regulation, and deport millions of undocumented immigrants, policies he says will put Americans first. But what will that mean practically for workers and consumers? On GZERO World, Ian Bremmer is joined by Oren Cass, the founder and chief economist of the conservative think tank American Compass, who thinks Trump’s tariff plan will be a step in the right direction.

This week, in GZERO Daily, we will be rolling out our top political game changers of the year. Stay tuned, and check back here on Friday for our Top 10.

Syrian refugees in Ankara, Turkey, celebrate the fall of Syrian President Bashar al-Assad on Dec. 8, 2024.

Diego Cupolo/NurPhoto via Reuters

The toppling of Bashar Assad’s regime in Syria could significantly impact the future of Syrian refugees, in both neighboring states and beyond.

French President Emmanuel Macron shakes hands with US President-elect Donald Trump as he arrives for a meeting at the Elysee Palace in Paris as part of ceremonies to mark the reopening of the Notre-Dame de Paris Cathedral, in Paris, on Dec. 7, 2024.
REUTERS/Sarah Meyssonnier

Forget the Eras Tour: From Paris to New York City, US President-elect Donald Trump had a whirlwind weekend.