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Fed Cut Raises Inflation Fears

Borrowers, exporters stand to gain, but critics find move 'self-defeating'

By Rob Quinn, Newser Staff

Posted Mar 19, 2008 10:27 AM CDT

(Newser) – The Federal Reserve's latest rate cut might boost the economy with cheaper credit, but economists worry a freed inflation genie could be behind any magic, the Washington Post reports. Commodity prices rose to record levels in expectation that the rate cut would keep demand high,... Read full story »

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Fed Cut Raises Inflation Fears

Borrowers, exporters stand to gain, but critics find move 'self-defeating'

inflation • Ben Bernanke • Federal Reserve • mortgage • exports • commodities • interest rate cut • N. Gregory Mankiw • Lee Hoskins • Kenneth Rogoff

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More Newser Stories

Fed Slashes Key Interest Rate Another Quarter-Point

Board signals further cuts are no sure thing

2008 Inflation Slowest in 50 Years on Oil Prices, Economy

Slow spending, sliding energy costs lead to 0.1% CPI increase last year

Fed Weighs Emergency Rate Cut

As economy deteriorates, inflation becomes less of a concern

Fed Likely to Hold Rates— for Now

Bernanke hopes the 2% interbank rate will help economy rebound

Fed Ponders Pause in Rate Cuts—After 1 More

Experts expect a last cut to 2% before the central bank stops and waits

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