U.S. Economy and Monetary Policy by Claudia Sahm
Fed decision to obscure its reasoning not defensible, Claudia Sahm says
Claudia Sahm criticized the Federal Reserve's move to obscure its rationale after deciding to hold rates steady, describing the hold as defensible but the lack of transparency as not. She also ...
Claudia Sahm: Loretta Mester questions impact of not raising rates in October
Loretta Mester stated that "the economics support another rate increase" and expressed skepticism about whether not raising rates in October would meaningfully change the path toward a 2 percent ...
September rate hike likely due to risk management, Claudia Sahm notes
Risk management remains the Federal Reserve’s primary reasoning for a potential rate hike in September, which suggests another increase may occur next week. Claudia Sahm stated that markets ...
Claudia Sahm: Hassett considers true economic sentiment visible in American behavior
Kevin Hassett argued that the "true sentiment" of the economy is "best measured by what you see" Americans doing. Claudia Sahm questioned this approach in a ...
FOMC should provide faster explanations for decisions, Claudia Sahm states
The Federal Open Market Committee (FOMC) stated its goal is to support a "timelier return" to 2 percent inflation. Claudia Sahm responded by expressing her desire to see the FOMC also deliver ...
Claudia Sahm: Fed rate hikes driven by tariffs and Iran policy
Claudia Sahm raises concerns about the Federal Reserve's approach to interest rate hikes, questioning why increases are needed if core inflation is at 2%. Sahm argues that current inflation is ...
Employment reports not seen as informative on neutral rate, Claudia Sahm notes
Claudia Sahm raises questions regarding two key assumptions in a recent analysis of employment data and the neutral interest rate. Sahm asks why Employment Reports are considered "not informative" ...
Claudia Sahm: Fed decision leaves five key questions open after press conference
Claudia Sahm raises concerns about the latest Federal Reserve decision, pointing out that while the Fed made the right call last week, several important questions remain unresolved after the press ...
A rate hike is likely but has costs, Claudia Sahm warns
Claudia Sahm assesses that a rate hike is "quite likely" but cautions that it should not be seen as a "magic wand" and describes it as a "costly medicine." She further notes that if policymakers ...
Claudia Sahm: Americans observed inflation shift in early September Michigan Survey
Claudia Sahm points out that Americans recognized a change in inflation trends, referencing data from the Michigan Survey for early September. The survey results highlight public awareness of ...
Fed faces energy and tariff risks on inflation, Claudia Sahm warns
Claudia Sahm raises concerns about inflation ahead of next week's Federal Reserve meeting. She now believes the Fed may need to raise rates, citing uncertainty that inflation will return to 2% ...
Claudia Sahm: Market split reflects opposing inflation views
Claudia Sahm observed that there is a significant difference in how Waller and Warsh interpret current inflation data. She pointed out that, due to this clear divergence in opinions on major ...
Financial innovation takes center stage at 2026 Jackson Hole Symposium, Claudia Sahm notes
Claudia Sahm highlights the main agenda for the 2026 Jackson Hole Symposium, focusing on financial innovation and its implications for payments and policy. She indicates that the event will cover ...
Claudia Sahm: Warsh urged to detail proposed Treasury-Fed Accord at JH event
Claudia Sahm raises questions about Warsh and Bessent following their recent actions, suggesting Warsh should provide more information at JH regarding his proposed Treasury-Fed Accord. Sahm ...
Fed hike scenarios remain in focus before CPI, Claudia Sahm notes
Claudia Sahm raises the question of what conditions would prompt the Federal Reserve to consider a rate hike as new inflation data is set to be released. She references her July analysis based ...
Claudia Sahm: Fed keeps rates unchanged despite ongoing inflation concerns
Claudia Sahm highlights a comment from the Bloomberg Editorial Board about a Federal Reserve official's response to questions on monetary policy. According to the tweet, Warsh repeatedly declined ...
Debate on Fed inflation target continues, Claudia Sahm notes
Claudia Sahm raises a question ahead of the upcoming Federal Reserve press conference, asking "2% of What?". She expresses interest in whether Warsh agrees that PCE inflation is the official ...
Claudia Sahm: Fed officials unlikely to support rate hike at upcoming meeting
Claudia Sahm believes that while the Federal Reserve will seriously discuss the pros and cons of a possible interest rate hike, current commentary from Fed officials does not indicate a majority ...
Fed outlook on inflation varies but response aligned, Claudia Sahm notes
Claudia Sahm explains that Federal Reserve officials were split on their expectations for inflation but showed consensus on how to respond to inflation developments. She highlights that the dot ...
Claudia Sahm: Fed mandated to report twice a year since 1978
Claudia Sahm highlights the return of the Monetary Policy Report, reminding that when Congress assigned the Federal Reserve its dual mandates for employment and price stability in 1977, it ...
Bank of Italy panel more effective on policy complexity, Claudia Sahm notes
Claudia Sahm compared her experiences with two recent central bank panels, expressing that the Bank of Italy panel provided greater clarity on the challenges of current monetary policy than a ...
