I am sorry, but Obama’s Fed put us in this position with quantitative easing, zero interest rates and massive liquidity injections into the market.
That needed to be pulled back or a massive crash would happen.
A strong economy is a good time for that. But it is a balancing act between soaking up the liquidity pumped into the economy and derailing economic activity.
“Since October The Fed has single-handedly dismantled the US economy.”
The Fed’s actions are not the sole reason for a stock market correction nor is it destroying the economy. There are many irons in the fire including uncertainty regarding China trade that could affect the world economy. Also the dems just took control of the House which can’t help. Two 1/4 point increases are not going to destroy an economy and if it did it wasn’t much of an economy.
The Fed’s rate is now at 2.5%, mortgage rates less than 4%, 3Q GDP was 3.5%, unemployment rate at 3.7%. These are good times.
The stock market is at Oct 2017 levels with S&P around 2500. I remember when the S&P was at 100 and later when mortgage rates were at 18%.
Not defending the fed but the hyperbole is a bit over the top.
bump
I always thought raising Interest Rates was a tactic to stall Inflation.
Now I hear the Inflation is not an issue but a booming Economy is.
Obama skates on low Interest Rates for eight years and now that the Country is getting back on its feet the Fed looks like it’s trying to push back. Politics, pure and simple.
Interesting times.
The DemonRATs are or-castrating a major recession if not an out and out depression and are going to blame it on Trump.
Letting them steal the House is going to hurt “We The People”. And not going to touch “Them The Rich” who will gleefully buy up our assets for pennies on the dollar, just like last time.
They have money and connections.
It's the rest of us who will suffer - and the 'elites' don't give a damn about us, our children, our grandchildren or our lives. They got theirs...
I’m trying to understand why Trump keeps saddling himself with so much of the swamp. From Sessions, to his security advisers who dragged their feet on pulling out of Syria, to Rosenthein, to this douche who clearly is trying to upend the markets to have Trump lose in 2020.
If Alan Greenspan had a son..
‘FED Up’ Yet??
Raising the rate too much prematurely pushes interest rates up and stifles many business starts. Doing so too much, too soon, can cause bond yields to go too high and bond prices to fall. It can cause a bond collapse. It can start a vicious cycle that would cause economic collapse.
It could even lead to a debt collapse, default and repudiation.
Trump has consistently proven he is a very poor judge of people to hire. This time, he has hired someone who is destroying the economy just as much as it was destroyed by the Swamp dwellers in 07 and 08.
It will take years to dig out of the hole that is being created right this very minute.
The stage is being set for a demonrat takeover and overturning of all that has been done these last 20 months. They will wipe this time fram clean as the Teg Plateau of Southern Algeria. There is nothing there for as far as you can see bigger than a coffee cup. It is a desolate wasteland.
Kill the fed, hire a computer
I don’t understand how the Dow is representative of the Trump Economy. Just because a bunch of crazy people (Wall Street idiots) get cold feet and sabotage themselves is not really my problem. I’ll be happy to receive higher interest on my savings. The Dow is not the economy! In 2007 my savings account was accruing a nice tidy 6%! I’d like to see that return.
2020 IS LOST, THE DEEP STATE HAS WON MORE THAN THEY THOUGHT POSSIBLE!!! IN THE END TRUMP IS THE BEST THING EVER TO HAPPEN FOR THE DEEP STATE!!!!
However, the shenanigans at Facebook and other large tech firms also have something to do with this.
Wait until you see what Powell does next year. His projected 2 rate hikes will be double of what the last rate was.