Posted on 12/14/2022 11:22:11 AM PST by Tell It Right
The Dow Jones Industrial Average fell 140 points, or 0.4%. The Dow was higher by 287 points earlier in the day. The S&P 500 declined 0.7%, while the Nasdaq Composite lost 1%.
The Fed delivered a widely-anticipated 50 basis point rate hike at the conclusion of its December policy meeting. It’s a smaller bump from the prior four consecutive rate hikes of 75 basis points. A basis point is equal to one-hundredth of one percent.
(Excerpt) Read more at cnbc.com ...
The Fed giveth. The Fed taketh away.
For historical perspective, see the rate as it's changed over the decades: https://www.thebalancemoney.com/fed-funds-rate-history-highs-lows-3306135.
For the changes in the official Fed statements see https://www.cnbc.com/2022/12/14/heres-what-changed-in-decembers-federal-reserve-statement.html. It's laughable how they blame the Ruskies for inflation. LOL
Screw everyone who believes what the Dow shows is any indication of the economy. It's all money manipulation and gambling. Period.
“Rate is now officially at 4.5%”
And some high-yield savings accounts and CDs are giving about the same.
Inflation is 7%, according the government, and Fed Funds now 4.5%. That is still very negative rates which is a very, very long way from having a tight money policy.
True that. And also as an indication of the stock market (not to be confused with the economy), I don't like the DOW anyway. It's only 30 companies. I'd prefer to look at the S&P 500, which I believe is down 17% from its ATH in January.
The stock market IS A CASINO.
Do you think they should ignore inflation? Cheap money got us into this mess.
Noting that there has been a LOT of chatter recently regarding CDBC - we are getting closer and closer to this as a financial reset looms.
When it happens, it will happen all at once - a shock, a crisis. And then a new currency will be born, the old fiat replaced.
The old debts will still be there, however, they will wither on the vine.
$31T and 90T total in government debt, will be no more.
Agreed. If I had my way they would have hiked rates and done more QT a long time ago to reduce inflation. (I wish I could find details on any QE/"not QE" decisions they made.)
I'm just saying to everybody who thinks they're a totally awesome dude investor because they started some time in the past 13 years -- it's time for a life lesson.
They won’t be happy until all of our children are unemeployed and living in the basement.
5 year fixed rate annuities are now over 6%. I am still waiting to jump in.
Printing money got us into this mess.
One way I made nice coin in 2020 is because I saw it drop 30% in 2 months. I was out expecting a 40+% drop, but in March when I saw that it had dropped quickly like it did in 1987 (dropping 30+% in a few months) I jumped back in to catch the rebound.
Good thing it’s just transitory.
Tellitright: If I had my way they would have hiked rates and done more QT a long time ago to reduce inflation.
Economist were warning the Fed should have started raising the interest rates in slow increments back in the mid 2000’s.
Now we are paying the piper.
Is The Dow Jones happy with Biden’s new Digital Dollar ?
Stawks got a ways ta go down some more.
So treasury bonds will be worthless?
Five years seems so long looking forward... but so dang short looking back.
Some things will convert, some things won’t.
There are numerous (I saw two yesterday), YT discussions on this. Very interesting, giving nuts and bolts on how this might work.
Look up Clive Thompson...
The Currency Reset Will Wipe Out Creditors and Usher in CBDCs. Part 1.
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