US Federal Reserve Grapples with Stagflation Risks Amid Tariff Threats and Rising Inflation Expectations; Indian Bank Unions Announce Nationwide Strike

The US Federal Reserve faces a challenging scenario as inflation remains high and tariff threats loom, potentially leading to stagflation. Recent data shows mixed inflation signals, with the consumer price index slightly dropping but inflation expectations sharply increasing in the University of Michigan's consumer sentiment survey. Fed officials are concerned about these rising expectations, as they could become self-fulfilling and complicate efforts to bring inflation down to the 2% target. Meanwhile, in India, the United Forum of Bank Unions (UFBU) has announced a two-day nationwide strike on March 24 and 25 after discussions with the Indian Banks' Association (IBA) failed to address key demands, including adequate recruitment, regularizing temporary employees, and implementing a 5-day work week.