"The Most Flagrant Transgressor Of Fiscal Rectitude... Is Also The Greatest Danger To Resurfacing Of Inflation"

Authored by Simon White, Bloomberg macro strategist,

The Federal Reserve is set to cut interest rates for the first time in over four years next week. But the household and corporate sectors have yet to fully feel the bite of rate increases. Instead it’s the government — for whom the Fed is not supposed to guide policy — with the greatest need for lower rates.

An easing in policy is likely to stimulate an economy that has not yet cooled sufficiently.