We now think it appropriate that the Fed consider a strategic pause in its rate increases.

Economic News from RSM
We now think it appropriate that the Fed consider a strategic pause in its rate increases.
The rise of the delta variant in Asia combined with surging demand around the world have sent shipping costs higher, which will show up in higher costs of imported goods as supply chain problems persist.
The sharp 3.4% decline in goods costs on a three-month average annualized pace stands in contrast with the 8.9% increase in housing costs, all of which poses quite a dilemma for the Fed.
Prices paid to domestic producers deflated for the second month in a row as energy prices continued to fall and food prices remained unchanged.
Joe Brusuelas, “chief economist to the middle market,” is the preeminent voice championing issues and policies facing midsize companies in the United States and around the world. An award-winning economist, Brusuelas has more than 20 years’ experience analyzing U.S. monetary policy, labor markets, fiscal policy, international finance, economic indicators and the condition of the U.S. consumer.
A member of the Wall Street Journal’s forecasting panel and the UCLA Anderson School of Management's Board of Directors, Brusuelas regularly briefs members of Congress and other senior officials regarding the impacts of federal policy on the middle market and the factors by which middle market executives make business decisions. He also frequently offers his insights on the U.S., Canadian and global economies in the financial media. In 2020, he was named one of the 100 most influential economists by Richtopia.
Before joining RSM in 2014, Brusuelas spent four years as a senior economist at Bloomberg L.P. and the Bloomberg Briefs newsletter group, where he co-founded the award-winning Bloomberg Economic Brief. Earlier in his career, he was a director at Moody's Analytics covering the U.S. and global economies for the Dismal Scientist website. He also served as chief economist at Merk Investments L.L.C. and chief U.S. economist at IDEAglobal.