Congress should combine Federal Reserve rate increases with deficit reduction because monetary policy alone cannot contain inflation while federal borrowing remains elevated

Bicameral federal legislature of the United States, made up of the Senate and the House of Representatives, which writes law, controls federal spending and oversees the executive branch. Its two chambers represent states and districts on different terms and hold different constitutional powers.

Coverage of the American economy and the policy that shapes it: inflation, employment, tariffs, taxation and the federal budget. Distinct from business news, which follows companies rather than the decisions taken in Congress and at the Federal Reserve.

Household prices for food, housing, energy, healthcare and other everyday necessities, and the economic policies blamed or credited for them. Central to how American voters judge an administration, and argued through inflation, wages, interest rates, tariffs and gasoline prices.

How issuers manage money supply, inflation, and interest rates. These rules make or break a currency's credibility as a store of value.

At Jackson Hole on 28 August, Chair Kevin Warsh called financial conditions unrestrictive and underlying inflation barely improved, while refusing forward guidance. Market odds of a September quarter-point rise moved from about one in three to sixty percent.