In Good Companies

Inflation is rising and interest rates are too. How high will rates climb? And how long will they stay elevated? We talk to Dr. Lindsey Piegza, Chief Economist at Stifel to find out.

Show Notes

Welcome back to In Good Companies! This season, we’re exploring the forces shaping your business, inside and out—and to kick off Season Two, we’ve got a double whammy: inflation and interest rates.

During COVID, the Federal Reserve cut its target range for the Federal Funds Rate to 0.00% to 0.25%. But now, in 2022, inflation has hit a 40-year high and interest rates are climbing again. In six short months, the Federal Funds Rate target range has risen steeply, from a range of 0% to 0.25%  to a range of 3.00% to 3.25%. High interest rates can have a substantial effect on businesses and consumers alike. So, how high will rates climb? And how long will they stay elevated?  

One of the people best positioned to answer those questions is Dr. Lindsey Piegza, Chief Economist at Stifel: she’s spent her career translating the economy to a broad audience. Together, we’ll examine the relationship between interest and inflation, decode the Fed’s monetary policy and explore why this inflation might be particularly stubborn.

As always, we’ll dig into what this means for you and your business: what indicators to pay attention to, how to adapt to a high-interest environment and why you should be especially cautious when inflation recedes.

So join us! We’ve got your best interest at heart.


Highlights:
  • Why our economic situation is deceptive (3:40)
  • Federal Funds Rate deep dive (6:20)
  • The relationship between inflation and interest rates (8:22)
  • Rate hikes in 2022 (9:09)
  • How the Fed uses interest rates as a communication tool (10:51)
  • What will drive the Fed’s decision-making (12:29)
  • The lag of monetary policy (14:09)
  • What happens if inflation doesn’t subside (16:13)
  • The effects of a high-interest environment on small business (19:05)
  • How inflation and interest affect consumer behavior (21:32)
  • Why caution and adaptability will be key (22:50)
  • Markets are cyclical (25:01)

Links:

Feedback:

If you have questions about the show or topics you'd like discussed in future episodes, email our producers, sheena.cochran@cadencebank.com or danielle.kernell@cadencebank.com.

What is In Good Companies?

Starting and running a business or managing one isn’t for the faint of heart. You’re balancing internal and external forces in a continually changing landscape. You’re building strategies, and banking on the future – no matter what it holds. This is where Cadence Bank’s In Good Companies comes in. We share our wealth of knowledge, and insights from noted industry experts, to guide you through the forces shaping business today.

We’re back for Season 6, and this time, we’re setting our sights on the future of work. We’re asking the big questions, like:

What will your career look like in 2030? Or 2050, even?
How is ESG shaping the future of companies?
And how can we leverage AI to our advantage?

We bring together experts from across the board, from Silicon Valley to multinationals like EY, to help you stay on the cutting edge of business. And we get to know those who are building the future of our companies; because at Cadence Bank, we want to hear the human side of every success story.

Hosting our stellar range of guests this season is our new host, Ari Marin. He is a Cadence Bank Senior Vice President and family enterprise advisor, whose specialty is consulting with family-owned and small businesses. Ari’s idea of “good company” is being around creative, insightful people with unique and inspirational stories. For Season 6, he brings in his curiosity and ambition to In Good Companies, to lead discussions with our guests, and bring listeners across the U.S. all the information they need, in one place, in under 30 minutes.

Ready to launch into the future? Then join us!