Elon Musk urges Fed to reverse rate hikes as banking crisis takes toll

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Elon Musk urges Fed to reverse rate hikes as banking crisis takes toll
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Elon Musk urges the Fed to reverse course in its inflation fight, as he fears the banking crisis is hitting the US economy

Elon Musk has urged the Federal Reserve to beat a retreat in its battle against inflation, as the banking crisis is already putting the squeeze on the US economy.to a tweet by Bill Ackman on Monday that proposed the Fed pause its interest-rate hikes for now.

The central bank has lifted rates from nearly zero to upwards of 4.5% over the past year, in an effort to slow the pace of price increases. Traders mostly expect it to increase them again, by 25 basis points, at the end of its two-day meeting that starts Tuesday.in the past two weeks. He argued that has tightened economic conditions, and more rate increases would put strain on the financial system.Ackman's call for the Federal Deposit Insurance Corp.

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