As Fed nears rate hikes, policymakers plan for ‘brave new world’

JACKSON HOLE: Federal Reserve policymakers are signaling they could raise US interest rates soon but they are already weighing new tools they may need to fight the next recession.

A solid US labour market “has strengthened” the case for the first rate increase since last December, Fed chair Janet Yellen told a central banking conference in Jackson Hole, Wyoming. Several of her colleagues said the increase could come as soon as next month if the economy does well.