Federal Reserve
The Federal Reserve it can be argued has done a great job of propping up the economy during the Great Recession with its easy money policies led by Quantitative Easing 1, 2 and 3. However, the growth in the stock market and the low interest rate on our ballooning debt is artificial as a result of the Fed's policies. Dialing back of their latest bond-buying program, is the finesse move confronting the Fed for the next five years. If the Fed moves too fast, it could cool the recovery. If it moves too slowly, it could fuel asset bubbles or excessive inflation. With the stock market booming since the election of Donald Trump, these fears are heightened.

Fed Chair Powell says rate hikes, tighter policy will be needed to control inflation

from CNBC,

Federal Reserve Chairman Jerome Powell said on Tuesday that the economy is both healthy enough and in need of tighter monetary policy.

That likely will entail interest rate hikes, tapering of monthly asset purchases and a smaller balance sheet.

Powell made the comments during a confirmation hearing in which key senators indicated they will be supporting him for a second term.

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