Hold and look through the fuel shock

Reasons

1. 1.

   Higher interest rates don’t produce more oil or diesel, so they can’t fix a price spike caused by war.

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   • Supports

     Gasoline alone made up more than half of September’s price increase.

     • Al Jazeera: US inflation rises before midterm elections, fuelling rate hike fears (aljazeera.com)
     • Al Jazeera: US inflation rises before midterm elections, fuelling rate hike fears (aljazeera.com)
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2. 2.

   The job market is already weakening, and another hike could tip it into recession.

   • The Spokesman-Review (AP): Energy, gas costs push inflation higher. Paychecks are lagging behind (spokesman.com)

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3. 3.

   Real wages are already falling, so households are being squeezed without also paying more to borrow.

   • The Spokesman-Review (AP): Energy, gas costs push inflation higher. Paychecks are lagging behind (spokesman.com)

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