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For Fed, Dollar’s Strength Complicates Rate-Hike Calculus
The Wall Street Journal: Many Federal Reserve officials entered 2015 thinking they likely would start raising short-term interest rates by midyear. That idea got put on ice after a winter economic slowdown, partly attributed to the dollar’s rapid rise in previous months.
While the dollar’s value is down a bit from its March peak, the Fed’s own models show the greenback’s drag on the economy is likely to grow in coming months.
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