World on edge as Fed weighs rate increase

The turmoil in global financial markets for the past month has not eased, and there is still much to be known about how China's problems will affect the rest of the worldThe possibility that the Federal Reserve could raise interest rates for the first time in over nine years this week has injected new levels of anxiety in the global economy. With markets still in turmoil from China’s downturn and sensitive to any added uncertainty, calls from economists for the Fed to hold off are being countered by pushes from emerging economy officials to get the long-awaited move over with. The Fed itself is anxious to get off that extraordinarily low level, and US economic growth is strong enough to handle a quarter-point rate increase, a number of Fed officials have suggested.

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