{"id":6498,"date":"2017-02-17T14:43:21","date_gmt":"2017-02-17T20:43:21","guid":{"rendered":"https:\/\/www.regiontrack.com\/www\/?p=6498"},"modified":"2017-02-17T14:43:21","modified_gmt":"2017-02-17T20:43:21","slug":"here-is-why-janet-yellen-rising-rates","status":"publish","type":"post","link":"https:\/\/www.regiontrack.com\/www\/here-is-why-janet-yellen-rising-rates\/","title":{"rendered":"Here is Why Janet Yellen Warned Us Again About Rising Rates"},"content":{"rendered":"<p>There seems to be tremendous speculation surrounding <strong>Janet Yellen&#8217;s reminder to us all this week that the Fed intends to raise interest rates multiple times in 2017<\/strong>.<\/p>\n<p>But there really isn&#8217;t much mystery as to why the Fed is suddenly more eager to normalize policy. It is all data driven, and <strong>the data suggest that a broad range of prices are locked in a steady uptrend<\/strong> at the moment.<\/p>\n<p>Three snapshots of the issue are visible in\u00c2\u00a0hourly earnings, consumer prices, and producer prices. Both hourly earnings (all private workers) and headline consumer prices advanced at a <strong>2.5% pace<\/strong> the past year, with the pace accelerating steadily since early 2015. Producer prices are now <strong>up 4.4%<\/strong> the past twelve months after benefiting greatly from soft commodity prices since late 2014. Other measures of prices and business costs show the same steady uptrend.<br \/>\n<img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-6499\" src=\"https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png\" width=\"600\" height=\"720\" srcset=\"https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png 750w, https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-250x300.png 250w, https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-200x240.png 200w, https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-400x480.png 400w, https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-600x720.png 600w\" sizes=\"auto, (max-width: 600px) 100vw, 600px\" \/>While this is far from an inflationary spiral, <strong>current conditions probably represent the first point at which steady Fed tightening seems warranted<\/strong>\u00c2\u00a0given visible pressure on prices and continued stability of economic conditions.<\/p>\n","protected":false},"excerpt":{"rendered":"<p>There seems to be tremendous speculation surrounding Janet Yellen&#8217;s reminder to us all this week that the Fed intends to raise interest rates multiple times in 2017. But there really isn&#8217;t much mystery as to why the Fed is suddenly more eager to normalize policy. It is all data driven, and the data suggest that&hellip;<\/p>\n","protected":false},"author":1,"featured_media":6499,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_coblocks_attr":"","_coblocks_dimensions":"","_coblocks_responsive_height":"","_coblocks_accordion_ie_support":"","om_disable_all_campaigns":false,"_uag_custom_page_level_css":"","_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"_themeisle_gutenberg_block_has_review":false,"footnotes":""},"categories":[13,1],"tags":[49,62,63,77],"post_series":[],"class_list":["post-6498","post","type-post","status-publish","format-standard","has-post-thumbnail","hentry","category-pic-of-the-week","category-uncategorized","tag-federal-reserve","tag-inflation","tag-interest-rates","tag-prices","entry","has-media"],"aioseo_notices":[],"uagb_featured_image_src":{"full":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"thumbnail":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-150x150.png",150,150,true],"medium":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-250x300.png",250,300,true],"medium_large":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"large":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"1536x1536":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"2048x2048":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"lightbox":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"search_results":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-125x125.png",125,125,true],"blog_entry":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217-250x150.png",250,150,true],"blog_post":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"blog_post_full":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"blog_related":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"portfolio_entry":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"portfolio_post":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"portfolio_related":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"staff_entry":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"staff_post":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"staff_related":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"testimonials_entry":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"testimonials_post":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false],"gallery":["https:\/\/www.regiontrack.com\/www\/wp-content\/uploads\/potw_1_20170217.png",750,900,false]},"uagb_author_info":{"display_name":"mcsnead","author_link":"https:\/\/www.regiontrack.com\/www\/author\/mcsnead\/"},"uagb_comment_info":0,"uagb_excerpt":"There seems to be tremendous speculation surrounding Janet Yellen&#8217;s reminder to us all this week that the Fed intends to raise interest rates multiple times in 2017. But there really isn&#8217;t much mystery as to why the Fed is suddenly more eager to normalize policy. It is all data driven, and the data suggest that&hellip;","_links":{"self":[{"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/posts\/6498","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/comments?post=6498"}],"version-history":[{"count":0,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/posts\/6498\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/media\/6499"}],"wp:attachment":[{"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/media?parent=6498"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/categories?post=6498"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/tags?post=6498"},{"taxonomy":"post_series","embeddable":true,"href":"https:\/\/www.regiontrack.com\/www\/wp-json\/wp\/v2\/post_series?post=6498"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}