Janet Yellen ruffles markets with comment on rates
US treasury secretary says rates may have to rise somewhat to keep economy from overheating
04 May 2021 - 22:20
US treasury secretary Janet Yellen ruffled financial markets on Tuesday with a comment economists regarded as self-evident — that interest rates will probably rise as government spending ramps up and the economy responds with faster growth.
“It may be that interest rates will have to rise somewhat to make sure our economy doesn’t overheat,” Yellen said in an interview with the Atlantic recorded on Monday that was broadcast on the web on Tuesday. “It could cause some very modest increases in interest rates.”..
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