Posted on 03/07/2023 6:18:50 AM PST by Kaiser8408a
Hang ’em high!
As inflation remains persist (thanks to endless Fed stimulus and endless Federal spending splurges), we are seeing The Federal Reserve finally withdrawing the monetary stimulus (tightening the monetary noose). And with it, the US Treasury yield curve (10Y-2Y) goes down with it.
Another sign of distress is the spread between credit and equities which has turned positive as it does in times of crisis.
First, we had Resident Biden visiting Ukraine, then Treasury Secretary Janet Yellen visited Ukraine (for some strange reason), then US Attorney General Merrick “The Mouse” Garland is visiting the Ukraine. What the hell is going on with the Biden Misadministration??
(Excerpt) Read more at confoundedinterest.net ...
Had to click on the link to see if the author really published that.
We've been hearing many similar superlatives in the last months.
I can't see how we escape without a huge recession
Don’t worry kids, we won’t run out of money, they will print all we need...
stocking up on wheelbarrows now to go grocery shopping...
“I can’t see how we escape without a huge recession”
That would be the “soft landing” the Fed is hoping for...
They probably will have to slowly keep raising their rates until they get to double digits.
That could take five years...
That is the exact thing happening.
Like Biden says, The economy is great!!
The stock market is responding negatively for some reason. Wall Street must not like this “great economy”.
“Biden and Congress created mayhem with spending,”
Trump & McConnell handed out $600/week/layabout back in 2020.
The Federal Reserve cut interest rates and sent house (and stock) prices soaring back in 2020.
Trump asked for $2000/handouts instead of $600/handouts circa December 2020 and the Senate was lost in Georgia to Senator ‘Bigger Bribes’ Warnock.
Last year Biden's Dow was a negative 8.78%. And he gave us inflation of about 8%. Not good.
Mortgages could have two rates, the payment rate (say at 3%) and the true interest rate of say 8% (which is about the inflation rate).
The 5% inflation differential would be added to the principal.
“Of the five FHA Graduated Payment Mortgage plans, three of them allow mortgage payments to increase at a rate of 2.5 percent, 5 percent, or 7.5 percent in the first 5 years of the loan. Through the other two plans, payments increase at a rate of 2 to 3 percent annually over 10 years. Beginning in the sixth year of the 5 year plans and in the eleventh year of the 10 year plans, payments stay the same for the remaining years of the mortgage. FHA mortgages that start with a greater rate of increase over a longer period will have lower payments in the early years.”
https://www.fha.com/graduated_payment
Inflation is like cancer. Very hard to cure.
Increase tariffs, lower income taxes and hold spending flat. In a few years inflation is over.
“Noose”? I thought that word had Benn banished. 😁👍
$4.6 trillion then $1.7 trillion in just 2 years.
WE are paying the price of their corruption.
The FED chairman mumbled his way today and the stocks went down.
Now up in a short time. I own AMD stock. I have been buying extra shares of late and when they go up some I sell the extra ones. Then repeat after the stock goes down. The 3 times this year so far have been up from where I bought $8+ a share then .80 a share (fell quickly that week...) then up so far $9+ from the last time I bought.
This extra stock pays off the bills and the taxes for next year. I may sell the bulk of the shares at some point and hope then the stock goes down so I can buy then repeat. The smaller extra amount is doing well so far. I have made 2/3rds+ my past yearly salary when I was working in just 9 weeks.
The FED and the Biden economy is making this possible as they are always coming up with bad numbers every month. Just have to time when the FED makes an interest rate hike and Biden administration announces job numbers then adjusted downward later on...
I figure I have up to 2 weeks for the stock to go up before the next hike but you never know when bad news arrives so sooner. I keep looking at the market news all the time. BTW they are guessing like me : )
AMD 84.04 +2.88 (+3.55%) days range so far 80.67 - 84.85
Nvidia 238.49 +2.99 (+1.27%) days range so far 233.29 - 241.25
2023 Fed Meetings Calendar
March 21 to 22
May 2 to 3
June 13 to 14
July 25 to 26
September 19 to 20
October 31 to November 1
December 12 to 13
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