Economic Commentary

ECONOMY AND POLICY May 06, 2022   Chief Economist Scott Brown discusses the latest market data. As expected, the Federal Open Market Committee raised the target range for the federal funds rate by 50 basis points (to 0.75-1.00%), indicated that it anticipates “ongoing increases” in rates at future policy meetings, and announced the start of […]

ECONOMY AND POLICY May 06, 2022   Chief Economist Scott Brown discusses current economic conditions. As expected, the Federal Open Market Committee raised short-term interest rates, signaled more to come, and announced the start of its balance sheet runoff. Stock market participants were relieved (briefly) after Fed Chair Powell signaled that the FOMC was unlikely […]

ECONOMY AND POLICY April 29, 2022   Chief Economist Scott Brown discusses the latest market data. Real GDP fell at a 1.4% annual rate in the advance estimate for 1Q22, reflecting slower inventory accumulation, lower exports, and a drop in government consumption and investment. Imports, which are a subtraction in the GDP calculation, increased. Real […]

ECONOMY AND POLICY April 29, 2022   Chief Economist Scott Brown discusses current economic conditions. Real Gross Domestic Product fell at a 1.4% annual rate in the advance estimate for 1Q22. Imports have a negative sign in the GDP calculation. However, imports do not subtract from GDP. Consumer spending and business fixed investment were strong. […]