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Share Share Article via Facebook Share Article via Twitter Share Article via LinkedIn Share Article via EmailFormer Fed governor Jeremy Stein: The Fed's 2% inflation target 'may be challenging'Jeremy Stein, former Federal Reserve governor and Harvard University economics professor, joins 'The Exchange' with CNBC's Steve Liesman to discuss the likelihood of reaching 2.0% inflation in the near future, whether the current economy could return to its past data as the norm, and more.
Persons: Jeremy Stein, Steve Liesman Organizations: Former, Federal Reserve, Harvard University
“We will not take a break and we cannot stop now, and we will continue to pass life-saving laws until we end gun violence in Connecticut. Our lives depend on it,” said Jeremy Stein, executive director of Connecticut Against Gun Violence. Immediately after it was passed, the law was challenged in court by gun rights supporters. Connecticut’s landmark 2013 gun law, passed in response to the 2012 elementary school shooting in Newtown that claimed 26 lives, is also being contested in court. Besides Connecticut, which has some of the strictest gun laws in the country, other politically liberal-leaning states including California, Washington, Colorado and Maryland also have passed gun laws this year that face legal challenges.
Persons: Ned Lamont, , , Jeremy Stein, Gavin Newsom, Newsom, Vincent Candelora, Pro Tempore Martin Looney, Looney, Lamont Organizations: , Sandy, Elementary, Democratic Gov, Besides Connecticut, U.S, Supreme, California, Republican, Assembly, Pro Tempore Locations: HARTFORD, Conn, Connecticut, Newtown, Besides, California, Washington , Colorado, Maryland, North Branford, , New Haven, ” Connecticut
The Fed's interest-rate hikes will have a delayed cooling effect on the US economy, Jeremy Stein said. Don't assume the central bank will save the day if markets and companies get in trouble, he warned. (Stein was commenting on how the US economy has reacted to a historic rise in interest rates this year.) In an inflation world, you really can't do that much of it because it trips over your monetary policy objectives so much." "One of the things I worry about is: Has the market fully understood that the Fed is just going to be much more limited?
The Fed’s Standing Repo Facility allows eligible firms, who are mainly large banks, to quickly convert their Treasuries into short-term cash loans. But many experts and market participants say its existence should help if trouble arrives. Focus has gravitated to the Standing Repo Facility given the market fragility as major central banks around the world have pursued aggressive rate increases to lower the highest levels of inflation in four decades. But observers believe the Treasury market might be okay in the face of the trouble in part because the Standing Repo Facility will help ensure liquidity is there for those who need it. Meanwhile, Hammack said one other way the Standing Repo Facility could be made strong is for bank regulators to take it on board when assessing financial firms’ overall liquidity positions.
Interest rate delusion may be biggest error of all
  + stars: | 2022-10-06 | by ( Edward Chancellor | ) www.reuters.com   time to read: +7 min
The false idea exposed by the current bear market is that interest rates would remain low indefinitely. The belief that interest rates would remain at permanently low levels could prove the most costly error of all. The lowest-ever interest rates gave us the “Everything Bubble”. Now that interest rates are rising, everything is at risk. The pension funds faced margin calls on their loans, and the bond market seized up as they scrambled to raise cash.
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