The impact of macroeconomic news on our pockets

josevas217 (79)modin Project HOPE • 8 months ago

Hello friends of Project Hope, we are already in the middle of the week and I hope that for all these days that have passed are very good and productive.

Today is an important day for people, even if in general most people do not pay attention to macroeconomic news, but I consider it is something important, because even if we can not do much to change the impact they will have, because we do not even know exactly how they will impact, we could prepare ourselves for more complex situations in the future, or to take better advantage of the opportunities that will eventually arise.

We could also, based on what we understand will happen, make adjustments in our spending and consumption patterns, which will help us to save money that will allow us to maintain a little more slack in our personal finances.

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Today, particularly at 1:00 p.m. New York time, the FED will be updating the new interest rate, and it is not known exactly if they will maintain it, if they will raise it 0.25 or 0.50, in short, the global economic situation revolves around this reality, interest rates, and how they affect the level of indebtedness of the common person, like you and me, as well as of large companies.

This, unfortunately, affects us all, because living in a highly consumerist world, anything that implies an increase in production costs will have a direct impact on our pockets, on the way in which our economy will be impacted. That's why since I began to understand what this macroeconomic issue implies in my life, I can't stop being aware of it.

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I have also been keeping an eye on the evolution of oil prices, because this indisputably affects us all. It has been rising impressively over the last few months and will probably continue to do so. This makes the price of absolutely everything go up, as it is one of the main sources of energy, it is even where everything that is gasoline, plastic, etc. is derived from.

I think that the information we can acquire can serve us as a tool to leverage and use it in our favor, with the intention of avoiding making bad decisions, which sometimes are taken blindly, and the impacts on our economy are usually long lasting, and affect us in many ways. Knowledge does not weigh, so I do not think that learning from something is bad for us.