Fed plans to raise rates as soon as March to cool inflation

[Beet]

https://thehill.com/policy/finance/3526315-mortgage-rates-hit-5-78-percent-in-record-spike/

"Mortgage rates hit 5.78 percent in record spike"

Excellent.  The rate rises are starting to have the intended effect.  There is much more to go.

The problem with inflation is that wages aren't going up as fast as prices, which hurts real wages. On the other hand, raising interest rates to increase borrowing costs and generate a recession also hurts real wages. Fiddling around with monetary policy doesn't really solve the problem. The issue as always is with the real economy.

As far as deficits, yes, the government can continue to comfortably run them, as demand for the dollar remains strong relative to other currencies.