Posted on 12/14/2016 11:32:55 AM PST by RummyChick
Federal Reserve officials, amid signs that the U.S. economy soon could shed its long period of stagnation, approved the first interest rate hike in a year Wednesday and said it foresees three more increases next year.
The stock market reacted calmly, while the dollar and bond yields rose.
(Excerpt) Read more at cnbc.com ...
Any way to force her out sooner?
I'm assuming there was supposed to be a </sarcasm> tag in there somewhere.
She can always resign. President Trump can make it clear that he has no confidence in her, at the risk of politicizing the Fed Chair, and that might do it. But criticize her for what? Raising interest rates, something Trump was criticizing her during the campaign for not doing?
The other thing that people are overlooking is that it isn't Yellen who raised the rates, it was the Fed Open Market Committee of which Yellen is only one vote of 10.
Public comments affecting markets and not the raised rates. 3 instead of 2 for the next year....maybe. That sowed uncertainty and she knows it. Also the pretense of low unemployment is purely political. They all know that too. So, she’s raising rates in a time of high unemployment and underemployment. Who is that targeting except the middle class?
The announcement by Obamas choice to head the Fed, Yellin in which she announces the probability of “three” more rate hikes in 2017 is a purely political move and is intended to hurt the markets (investment) and cut domestic spending on big ticket items such as cars and homes which always suffer when rates are increased.
What yelling should have said after the 1/4 increase was announced is that the Fed will keep a very close eye on the economy and make adjustments as necessary going forward.
One of the first things Trump needs to do upon taking over is to obtain the resignation of Yelling and appoint someone who understands how business works instead of having a butt licker like Yellin who believes her job is to make Obama look good and to hell with the American people.
Another Rat effort to kill any rebound in the economy. Yellen is the enemy obviously—she is an appointee of the muslim faggot.
I’ve become so schizophrenic about gold - I am betting on it going way up but I kinda want it to go down one last time, so I can buy a bunch more on the cheap right before it goes shooting up to $3000!
my point is they are extra constitutional, They are subject to statutory control by amendment. They should be audited annually. I agree they will cause a recession to hurt the Trump Presidency and when they do I think they should be altered statutorily . They are not above the law .
Lets hope that you are right.
However, the debt is so astronomically huge and it doesn’t include liabilities like future Medicare, Medicaid, Social Security, etc. People have to be working and paying taxes and increasing the GDP to have an impact. Printing more money works too I guess — it devalues the debt — but at the expense of the middle class.
Lego is expensive but at least is good quality, but I concur with you. This might be a good trend for the American worker that China is started to price itself to high.
Yes, but money still has to translate into votes some how...
Important new information from Freeper expat_panama:
Section 10.2 of the Federal Reserve Act. The relevant passage is quoted below (highlighted for emphasis.[1]
Upon the expiration of the term of any appointive member of the Federal Reserve Board in office on the date of enactment of the Banking Act of 1935, the President shall fix the term of the successor to such member at not to exceed fourteen years, as designated by the President at the time of nomination, but in such manner as to provide for the expiration of the term of not more than one member in any two-year period, and thereafter each member shall hold office for a term of fourteen years from the expiration of the term of his predecessor, unless sooner removed for cause by the President.
My interpretation:
“Cause” being unspecified works fine for Trump. The onus would be on the court system to prove that blatant and notorious disregard for the separation of powers between the Dept. of Treasury and the Federal Reserve is not cause. In general, where legislative terms are poorly defined, it is up to the executive branch to interpret.
Wonderful research. What the LORD giveth, The Lord taketh away. Seize the FED!!
I also wonder if they’re hiking rates to make Trump happy.
That is a possibility, too.
“Approved the first interest rate hike...” What took so long? Should have been done in November 2008.
Raising interest rates protects the central bankers from the worst effects of inflation. It does not reduce inflation at all. That is merely a cover story to also protect the bankers.
Higher interest rates will immediately reduce commercial credit expansion and may reduce economic activity very quickly. This will hurt a lot of people very quickly too. This will not reduce inflation at all if the Government continues to expand the money supply through bond issues.
We saw all of this in the 70s' It is called "stagflation".
Deflationary.
and may reduce economic activity very quickly.
Deflationary.
This will hurt a lot of people very quickly too.
Deflationary.
” It does not reduce inflation at all.”
Were you not around to witness what Paul Volcker did at the beginning of the Reagan administration?
Credit expansion was choked off, interest rates went to the high teens, and the inflation that had plagued us throughout the ‘70s collapsed.
In fact inflation fell so fast it created a problem for the Reagan budget projections, resulting in deficits that would not have appeared if inflation had gone down more gradually, as was expected.
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