What we’re reading (3/16)
“Fed Raises Interest Rates For First Time Since 2018” (Wall Street Journal). “Federal Reserve officials voted Wednesday to lift interest rates and penciled in six more increases by year’s end, the most aggressive pace in more than 15 years, in an escalating effort to slow inflation that is running at its highest levels in four decades.”
“US Stocks Trade Higher After Fed Raises Interest Rates And Investors Digest Potential For 7 Hikes In 2022” (Insider). “The Fed raised the Fed Funds rate to a range of 0.25% to 0.50%. The range previously sat at 0.00% to 0.25% since the Fed cut rates amid the onset of the pandemic in March 2020. And more rate hikes are on the way, according to the Fed's dot plot, which tracks expectations from members of the Fed.”
“Is It Time To Buy Travel Stocks?” (RiskHedge). “The world is truly opening up this time. Australia and New Zealand opened their borders last month. Ireland, where I live, just scrapped mask mandates. Vaccine passports are a thing of the past in several European countries. Flown in the past few weeks? If so, you likely noticed airports are packed. TSA data shows passenger numbers are now 90%+ of pre-COVID levels. The number of Americans flying overseas jumped 130% compared to last year.”
“Why Isn’t Crypto An Effective Hedge?” (Marginal Revolution). “The last few months of chaos show what Bitcoin and other crypto assets are good for: They are advanced tools of globalization, luxury goods for complex, well-functioning markets — not protections against the depredations of hostile governments. One common story, especially popular in libertarian circles, has been that when inflation runs rampant and governments confiscate private wealth, crypto will be a vital refuge. It increasingly appears that this story is wrong.”
“How Life As A Trucker Devolved Into A Dystopian Nightmare” (New York Times). “Today, long-haul truckers are some of the most closely monitored workers in the world. Cameras and sensors dot their trucks, watching the road, the brakes and even the driver’s eye movements. Once, when his truck’s cabin heater broke, [driver] Mr. [Jon] Knope was forced to sleep in freezing temperatures for several days while traveling across northern Ohio and New York because an automated system made sure his engine was turned off at night. The company told him there was no way to override the system.”
