Posted on 02/13/2022 8:13:31 PM PST by bimboeruption
The FED announced over the weekend that it has scheduled a closed meeting for Monday morning.
TGP reported on this on Thursday.
The FED has scheduled a meeting for tomorrow morning at 11:30 am.
On Friday morning The Gateway Pundit reported that the Fed was going to increase rates on either Friday or Monday. The rates stayed the same on Friday so tomorrow’s meeting might be scheduled so the Fed can increase rates. Inflation is out of control and the Fed now feels it has to do something.
If the Fed does increase rates, this will be only the second time they did so this century under a Democrat President. The only other time the Fed increased rates under a Democrat since 2000 was in 2016 after keeping rates at 0% under the first 7 years of Obama’s terms in office.
The Fed increased rates massively under both President Bush and President Trump. But of course, the Fed is non-biased.
Tomorrow may be a big day for the markets. We will see…
If not tomorrow, when?
By how much?
Here's a link to the Fed's announcement: https://www.federalreserve.gov/aboutthefed/boardmeetings/20220214closed.htm
There are some rumors that they already got together this weekend to make their decisions and that Monday will just be used for Theater.
If they want to kill inflation they’ll need to go big like Volcker did in the early 80s. It’ll be 2 years of hell for the economy, but it’s the only thing that will kill inflation. In the end the rest of the 80s rebounded quickly after adapting to the new reality.
It didn’t hurt that we also had the Reagan tax breaks and reduction in regulations.
Go big or go home.
Would be nice if they actually understood what they put in their headlines.
I just don't see it. Yes, inflation is "always and everywhere a monetary phenomemon" but US is far more socialistic now than before, China and USA are disengaging, we are still facing supply chain issues, and we have far more malinvestment in non-productive things.
They may control inflation, but not eliminate it - the result will be stagflation
We did not have trillions in debt in the 80s...
Per the source document: Dated: 02/10/2022
So GWP is wrong when they said that it was announced over the weekend. Plus, this is a Board of Governors meeting, not a meeting of the Open Market Committee that sets monetary policy.
Now Along with mal investment, low productivity , We have a $31T deficit
Rut roh
First guess is .50% to “show that “”they’re “”serious””. 2nd guess is .25% and the threat of continued raising. There is only so much they can do.... especially in an election year.
Unless they decide to go full oligarchy and provide "special" financing to government while forcing the rest of us to pay high interest to finance it. Then we'll have a fraudulently-elected government raising taxes via interest rate subsidies without representation.
Well...if they don’t then they won’t kill inflation....so like I said let’s get the pain over with.
My bet is they’ll do an immediate .25 and then follow up with another .25 in March
This isn’t the 80’s, they raise rates like Volker then you say goodbye to the government and look for a collapse. Between health care spending, interest on the debt, social security it will not work.
Now if they cut Medicare and Medicaid, we can make it, and i mean to Zero. Prices will totally collapse in health care, lots of unemployment, and hospitals closing, but you will be able to pay for a-lot of stuff with cash, insurance will be gone or only catastrophic.
Interest rates will have to go up a minimum of 1000 basis points, the government would have to balance the budget and austerity will be in.
The reason I asked for your opinions is my husband died the day before Thanksgiving. He cashed in his life insurance a few years back when he lost his job to pay bills. He was in his 60’s and no one would hire him and pay him anywhere near his old salary, so he took a job and Sam’s.
I have to go the bank for a loan and it looks like I should get there ASAP.
Bkmk.
According to ForexFactory calendar Member Bullard of the FOMC will speak at 11:00 am EST Monday morning.
That sounds just peachy.
I believe that you are correctly describing their plans.
They’ll tell us we should be happy with our meat substitute ration coupon while they fly off to Davos.
Disclaimer: Opinions posted on Free Republic are those of the individual posters and do not necessarily represent the opinion of Free Republic or its management. All materials posted herein are protected by copyright law and the exemption for fair use of copyrighted works.