The Federal Reserve's stance may have undergone a significant shift.

After several interest rate hikes, not only has inflation not been controlled, with prices still soaring, but it has also led to the bankruptcy of a top regional bank, with the Federal Reserve's interest rate increases being criticized by many professionals.

Although the U.S. government has always believed that the economy will achieve a soft landing, more and more people now think that a recession is inevitable, and some institutions even point out that a recession may have already occurred, with the bankruptcy of Silicon Valley Bank in the United States being a symbolic beginning.

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01, Renting Hens

It is clear that inflation in the United States remains very high, and there is no trend of prices falling. Under these circumstances, the Federal Reserve has previously emphasized the need for multiple interest rate hikes and the continuous raising of the terminal interest rate, showing a very tough attitude.

Media reports indicate that the surge in U.S. prices is reflected in many aspects. Recently, due to the impact of avian influenza, the price of eggs in the United States has been rising continuously, leading to a booming business in renting hens.

Now, hens have become a hot commodity. In the United States, there are even many families that have started raising chickens at home.

It is a common occurrence for chickens to appear on the dining table as food, but this chicken-raising craze is not common.

There is a reason for this. During this period, the United States has experienced a very severe outbreak of avian influenza. It is reported that more than 40 million hens have been taken away by avian influenza. With the sharp decline in the number of poultry, an egg shortage has emerged in the United States.

In this round of high inflation, the continuous rise in energy and food prices has been a major factor. Now, the further increase in egg prices has driven up the prices of other food items, which is reflected in the U.S. CPI month-on-month data as a persistent positive growth that is difficult to fall.The price of poultry in the United States is soaring, and eggs are almost turning into golden eggs. After the continuous increase in poultry prices, a "rent-a-chicken" trend has swept across the United States, with some farmers' rental services being so popular that there is not a single chicken left on the entire farm, as all hens have been rented out. This also indicates how high the price of poultry is in the U.S. market.

Some have calculated that previously, a dozen eggs would cost around $2.4, but now the price has almost doubled, increasing by a full $2, to buy a dozen eggs. Instead of buying expensive eggs, it might be better to rent hens to lay eggs at home.

The interviewed farmer stated that he has set up rental packages on his farm's website. For example, a set of chicken-raising equipment with a few hens, feed, and so on, is rented for around $180.

This business has been surprisingly popular.

At this time last year, ordinary American families were complaining about the high price of gasoline.

This year, at this time, American families are complaining about the high price of eggs. The subject of complaint has changed, but the complaints about the cost of living remain the same.

At the same time, everyone unanimously blames the Federal Reserve for its ineffective measures. Despite multiple interest rate hikes, inflation has still not been controlled.

02, Bankruptcy of Banks

After the last weekend, the accusations against the Federal Reserve by Americans have increased by one more charge. Many believe that it was the continuous interest rate hikes by the Federal Reserve that led to the bankruptcy of Silicon Valley Bank.

This claim is not baseless. It was the continuous interest rate hikes by the Federal Reserve that caused the continuous decline of U.S. Treasury bonds, and Silicon Valley Bank had significantly increased its holdings of these bonds before the rate hikes, resulting in substantial losses from bond investments, which was the direct cause of the bank's eventual bankruptcy.After the bankruptcy incident, the U.S. Treasury Department indicated that it was paying attention to several banks in the market. Although it did not specify the names, it revealed a worrying news that several other banks are facing the same risk. For ordinary American families, life is really not easy now. On the one hand, they are worried about whether their deposits in banks will be at risk, and on the other hand, they are worried that the prices of commodities such as eggs are getting more and more expensive. The adverse consequences of the interest rate hike continue to emerge, and Goldman Sachs immediately adjusted its forecast because the Federal Reserve will raise interest rates in March this year. This is a completely different change from the previous forecast of a 25 basis point rate hike, or even a sharp 50 basis point rate hike. No wonder some Wall Street investment banks pointed out that now is not a discussion about whether there will be a recession, but to quickly determine whether the recession has begun.