As expected, the Federal Reserve Board raised its target rate for its key lending strategy, the Federal Funds Rate, to a range of 1 percent to 1.25 percent, citing a growing economy that still needs a bit of help before a more solid reining in.
In a statement, the Fed said it was watching for "some further strengthening in labor market conditions" before tightening further. Even so, the Fed's Open Market Committee expects to raise interest rates again, but gradually.
In short, the U.S. economy is doing reasonably well, but isn't about to soar. That may be contrary to the hopes of President Donald Trump, who has been campaigning for major tax cuts and loosening of federal regulations to give business free rein to grow.
As to who handles the reins, government and its fiscal policy or the Fed and its monetary policy, that may bring on a dispute between the White House and the Fed on the issue of who's in charge of the economy wagon.
This is not an issue that's likely to generate Page One headlines, considering the conflict between the president and congressional investigations of his business relationships and foreign entanglements.
Nevertheless, it's important. All things considered, it's one more straw added to the pile of problems the president faces.
Whether he can bend the Fed to his will, and dissolve the Board of Governors of the nation's central bank if its members don't do what he wants, remains to be seen.
Does he want to? Probably. Does he have the legal authority? Questionable. Will he vent his rage in 140-character bursts? Quite likely.
Increasingly, though, with lawsuits and impeachment staring at him, one wonders how long and whether he can face them down.
After all, there's little riding on this but fiscal and monetary collapse, and an economic downturn that would make the last seem like a weekend in the country.
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