Federal Reserve
The Fed and other leading central banks are progressively aligning with climate change policies. This marks an evolution toward a greener form of capitalism in the global capital markets.
Richard H. Clarida discussed what he calls "an evolution in Fed communication."
Do higher interest rates actually lead to higher returns on savings? Research shows a 1% increase in interest rates by the US Federal Reserve equals a 0.34% increase in the rates paid by banks on savings deposits. Why do savers fail to capture the benefits of higher interest rates?
If new disinflationary pressures are left unaccounted for, inflation, holding all else equal, will remain subdued, and the pace of rising rates will be slower than was expected by either the market or the Fed.