Inflation has been falling steadily for 11 months and avoiding a recession.
The Federal Reserve is considering cutting interest rates.
The Federal Reserve is considering cutting interest rates, but it may not happen until after March. The central bank's rationale for eventual reductions is that inflation has been falling steadily for 11 months and avoiding a recession. Jerome Powell, the Fed Chair, stated in an interview with CBS News that he doesn't want to go as far as saying inflation is dead but it has been falling steadily. The Federal Reserve also said on Wednesday that it's unlikely to cut rates in March.
Americans may have to wait beyond March for the central bank to cut interest rates as officials look for more economic data to confirm that inflation is headed down to 2%.
Central bank's rationale for eventual reductions
`Inflation has come down really over the past year and fairly sharply over the past six months` - Jerome Powell
Accuracy
No Contradictions at Time
Of
Publication
Deception
(100%)
None Found At Time Of
Publication
Fallacies
(85%)
The article contains an appeal to authority fallacy. The author cites Jerome Powell as the source of information without providing any evidence or context for his statements.
]Federal Reserve Chair Jerome Powell said Americans may have to wait beyond March for the central bank to cut interest rates as officials look for more economic data to confirm that inflation is headed down to 2%.
Bias
(100%)
None Found At Time Of
Publication
Site
Conflicts
Of
Interest (50%)
Craig Torres has a financial tie to the Federal Reserve as he is an economics reporter for Bloomberg. He also has personal relationships with Jerome Powell and CBS 60 Minutes as they are sources of his reporting.
Author
Conflicts
Of
Interest (50%)
The author has a conflict of interest on the topic of Federal Reserve as he is reporting for CBS 60 Minutes which may have its own agenda and biases.
Jerome Powell stated that he doesn't want to go as far as saying inflation is dead, but it has been falling steadily for 11 months and avoiding a recession
`Inflation has come down really over the past year and fairly sharply over the past six months` - Jerome Powell
Accuracy
No Contradictions at Time
Of
Publication
Deception
(50%)
The article is deceptive in several ways. Firstly, the author claims that inflation has come down sharply over the past six months and they are making good progress towards restoring price stability for the benefit of the public. However, this statement contradicts their earlier statement where they say that inflation has been falling steadily for 11 months.
I wouldn't go quite so far as that.
Fallacies
(85%)
The article contains several examples of informal fallacies. The author uses an appeal to authority by stating that the Federal Reserve Chair Jerome Powell is a reliable source on economic matters. This statement assumes that because Mr. Powell holds a position of power and expertise in his field, he must be correct in all aspects related to economics.
FEDERAL RESERVE CHAIR JEROME POWELL: I wouldn't go quite so far as that.
Bias
(85%)
The article contains a statement from Federal Reserve Chair Jerome Powell that inflation has come down significantly over the past year and six months. However, he also states that they are not ready to cut interest rates yet as they want more evidence of sustained inflation reduction before doing so.
Site
Conflicts
Of
Interest (50%)
There are multiple examples of conflicts of interest in this article. Firstly, Jerome Powell is the Federal Reserve Chair and Scott Pelley is a correspondent for 60 Minutes. As such they have professional affiliations with each other that could compromise their ability to act objectively and impartially when reporting on topics related to the Federal Reserve.
On Wednesday, the Fed said it's unlikely to cut rates in March
`We see higher probabilities for March cut than consensus`*, Fundstrat’s Tom Lee wrote in a note on Thursday
Jerome Powell's comments at the January FOMC meeting were markedly more hawkish than investors were expecting, causing stocks to slip into the red and the S&P 500 to see its worst day of the year
`We feel like inflation is coming down […], what we are trying to do is identify a place where we are really confident about inflation getting back to 2%, so that we can then begin the process of dialing back the restrictive level`
According to Lee, this means that the Fed is getting ready to cut rates
Accuracy
Jerome Powell's comments at the January FOMC meeting were markedly more hawkish than investors were expecting
Lee isn't swayed by the Fedspeak, perceiving such remarks as the Fed trying to herd the 'hawks'
Deception
(30%)
The article is deceptive in several ways. Firstly, the author presents a statement from Fundstrat's Tom Lee as if it were his own opinion when in fact he wrote that 'We see higher probabilities for March cut than consensus'. This implies that Lee believes there will be a rate cut in March which contradicts what was stated later on in the article. Secondly, the author presents Jerome Powell's comments at the January FOMC meeting as if they were markedly more hawkish than investors expected when it is not clear from the context of his statement that this was unexpected by all investors. Thirdly, Lee's statement about something else Powell said in his speech being worth paying closer attention to implies that he believes there will be a rate cut in March which contradicts what was stated later on in the article.
Lee's statement about something else Powell said in his speech being worth paying closer attention to implies that he believes there will be a rate cut in March.
The author presents Fundstrat's Tom Lee as if it were his own opinion when stating 'We see higher probabilities for March cut than consensus'.
The author presents Jerome Powell's comments at the January FOMC meeting as if they were markedly more hawkish than investors expected.
Fallacies
(85%)
The article contains several fallacies. The first is an appeal to authority when it states that Fundstrat's Tom Lee wrote in a note on Thursday and that he has been accurate with his stock market calls in the past.
> On Wednesday, the Fed said it’s unlikely to cut rates in March. Now, one Wall Street bull is even more certain they will. <br> > We see higher probabilities for March cut than consensus,
Bias
(85%)
The author of the article is biased towards a specific position. The author quotes Fundstrat's Tom Lee who believes that there will be a March rate cut despite Jerome Powell stating it was unlikely in his comments at the January FOMC meeting. This shows an ideological bias as Lee holds a particular viewpoint on monetary policy and is not considering all possible outcomes.
We see higher probabilities for March cut than consensus, Fundstrat's Tom Lee wrote in a note on Thursday.
Site
Conflicts
Of
Interest (50%)
Aruni Soni has a conflict of interest on the topic of Federal Reserve rate cuts as she is an employee of Business Insider which is owned by Axel Springer AG. This company also owns Tom Lee Financial and Wall Street bulls, both entities that have a vested interest in the stock market.
Aruni Soni reports on the comments made by Jerome Powell at a Federal Reserve meeting regarding rate cuts.
Author
Conflicts
Of
Interest (50%)
The author has a conflict of interest on the topic of Federal Reserve rate cuts as they are an investor and have expressed bullish views about Wall Street. The article also mentions Tom Lee who is known for his bullish views on Bitcoin.
Federal Reserve Chair Jerome Powell said Americans may have to wait beyond March for the central bank to cut interest rates as officials look for more economic data to confirm that inflation is headed down to 2%.
Powell indicated that it's not likely that the Federal Open Market Committee, the Fed panel that sets interest rates, will reach a level of confidence about inflation's path by its March 19-20 gathering.
Treasuries fell across all maturities at the open in Asia as Powell’s comments underscored the likelihood that bond investors had overshot in pricing for rapid rate cuts.
Accuracy
No Contradictions at Time
Of
Publication
Deception
(80%)
The article does not contain any direct quotes from the author that are deceptive. However, there is a lack of disclosure regarding sources and some statements made by the subject of the article could be considered as emotional manipulation or sensationalism.
Fallacies
(100%)
None Found At Time Of
Publication
Bias
(100%)
None Found At Time Of
Publication
Site
Conflicts
Of
Interest (50%)
Craig Torres has a financial tie to the Federal Reserve as he is an employee of CBS News which receives funding from the Fed. This could compromise his ability to report on this topic objectively.
Author
Conflicts
Of
Interest (50%)
Craig Torres has a conflict of interest on the topic of Federal Reserve as he is an author for CBS News which may have financial ties to companies in the banking and finance industry.
