Fed Makes It Clear That Rates Will Rise Again - New York Times

Fed Makes It Clear That Rates Will Rise Again - New York Times: "June 10, 2006

SIGNS of slower economic growth, paradoxically, would normally have been welcome news this week, bolstering the idea that the Federal Reserve would stop tightening the money supply and raising interest rates. But when signs of slow growth were accompanied by evidence of accelerating inflation, it was hard to see a bright side.

With the stock market falling, the deal-making machinery on Wall Street fell silent. There were a couple of takeovers involving foreign companies, both with significant interests in the United States.

FIRST THINGS FIRST Ben S. Bernanke, chairman of the Federal Reserve, and almost every other Fed member were meticulously on message: Make no mistake this time, rates are going up."