Sep 14, 2026 · 1h 17m
Oil shock puts Fed rate hikes back in focus
The Rate Hikes Are Coming
The episode connects higher energy costs, fiscal deficits, and sticky inflation to a potentially more restrictive path for monetary policy and riskier AI valuations.
- 1Higher oil prices could revive inflation and push the Fed toward rate hikes despite pressure from households and businesses.
- 2AI companies face a sharp contradiction between extraordinary investment ambitions and warnings that the technology could create catastrophic risks.
- 3Apple’s foldable iPhone and John Ternus’s succession test whether the company can extend its legacy beyond Tim Cook.
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Both hosts predict that elevated oil prices and persistent inflation will lead the Federal Reserve to raise interest rates.
The brief
Scott Galloway and Ed Elson open with UC Regents business and personal catch-up before turning to the economic forces shaping markets and households.
Oil above $100, persistent inflation, and large deficits raise the prospect of renewed Federal Reserve tightening, with fuel costs spreading into groceries, transportation, and spending.
The hosts examine prospective OpenAI and Anthropic IPOs, weighing their huge financial ambitions against warnings about catastrophic AI risk and the pressure to keep pace with China.
They then test the AI boom’s economics, asking whether projected revenue can justify capital spending and valuations that may face scrutiny in future S-1 filings.
Apple’s foldable iPhone becomes a test of product judgment, while John Ternus inherits the challenge of steering a company shaped by Steve Jobs and Tim Cook.
The episode closes with both hosts predicting a Fed hike, while considering political pressure, central-bank independence, and the timing of further increases.
Featuring
United States
Donald John Trump
Kevin Maxwell WarshListen to the full episode and explore every guest, topic, and moment on PodLume.