- Fed and other financial leaders acted decisively to prevent the Silicon Valley Bank collapse from becoming systemic.
- Unlike in 2008, inflation is still running hot, and global debt has skyrocketed.
- Ultra-low borrowing rates cannot be counted on this time around due to various factors.
- China's weaker position will not allow it to hold up global growth during the next recession.
- The Russian war in Ukraine is a continuing supply shock that accounts for a significant part of the inflation problem.
Things are only getting harder for the Fed
The Fed faces trade-offs in deciding on its rate policy next week amid rising inflation, global debt, and a weaker China.