FOMC expects an inflation bump, but it’s short-lived, spiking to 2.4% this year before slowing to 2% next year.
Many fret that capital is being routed to businesses that will underinvest in growth for years, even if they recover enough to fully pay the interest on their debt.
“We want to signal our support for credit-sensitive rates alongside SOFR. There’s a lot of work being done on having a rate that looks and feels like LIBOR,” according to a BofA representative.
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