"The United States Federal Reserve is walking a tightrope. It wants to keep employment high and inflation low. But both are pointing in the wrong direction. For now, policymakers seem more worried about the health of the labour market than the risk of rising prices. For the first time since December, the central bank has lowered interest rates to help shore up the ailing job market. But that might also push prices up."
"Also the Fed faces political pressure, with President Donald Trump accused of challenging its independence. Can European electric cars catch up with China? Plus, Senegal's hidden debt crisis."
The Federal Reserve faces a trade-off between sustaining high employment and keeping inflation low. Employment and inflation trends are moving unfavorably. Policymakers appear more concerned about labour-market weakness than inflationary pressures. The central bank lowered interest rates for the first time since December to support the ailing job market, a move that could raise prices. The Fed also faces political pressure, with President Donald Trump accused of challenging its independence. Separately, competition looms in the electric-vehicle market as European makers attempt to catch up with China. Senegal is contending with a concealed debt crisis.
Read at www.aljazeera.com
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