Posted on 03/22/2023 11:36:21 AM PDT by Oldeconomybuyer
The Federal Reserve on Wednesday enacted a quarter percentage point interest rate increase, expressing caution about the recent banking crisis and indicating that hikes are nearing an end.
Along with its ninth hike since March 2022, the rate-setting Federal Open Market Committee noted that future increases are not assured and will depend largely on incoming data.
“The Committee will closely monitor incoming information and assess the implications for monetary policy,” the FOMC’s post-meeting statement said. “The Committee anticipates that some additional policy firming may be appropriate in order to attain a stance of monetary policy that is sufficiently restrictive to return inflation to 2 percent over time.“
That wording is a departure from previous statements which indicated “ongoing increases” would be appropriate to bring down inflation. Stocks rose slightly after the announcement, as investors waited to hear more from Chair Jerome Powell in a press conference at 2:30 p.m. ET.
(Excerpt) Read more at cnbc.com ...
“Policy firming”. Now that is pure bureaucratic speak. What the hell does that mean for us country folks without a college education?
“Floggings of employees will continue until morale improves.”
Supposedly banks are failing due to after effects of interest rate hikes.
Inflation won.
I want Zer0 Inflation.
A balanced budget/fiscal year amendment would lower interest rates and strengthen the banks.
They chickened out before even getting to the halfway point of what is needed to tame the inflation beast. Savers are screwed!
The Fed is capitulating to inflation. The average guy loses.....again.
The current state of college education means that wouldn’t even help. Buzzwords and insider terms are meant to make elites look clever.
One Bones series episode had a woman say to the Stephen Fry character: “I believe you. With your British accent everything you say makes you sound smart.”
Today’s colleges teach inclusion, diversity, ending “the dominant hetero-normative paradigm,” facing climate change and punishing people with reparations for the nation’s founding to create a place for slavery in the 1600s.
Buying long-term low interest debt was stupid.
The rates will go up at least another .25 this year, possibly two more .25 hikes.
“savers...screwed”
Getting 4% interest with 8% inflation means losing 4% a year plus the taxes in the 4% interest.
RE: Inflation won....
Short video on African inflation (our future). Man worried they would steal his valuable wheelbarrow worth more than the pounds of currency it carried. Costs doubled during the time of having a beer in the bar.
https://www.youtube.com/watch?v=ZI_j6_Npnfw
Slavery was almost entirely a private matter.
Recession we will work our way out of, but it makes the current administration look bad.
Inflation could mean all 401K’s (and savings) eventually are basically worthless at some point, which means all those people who got screwed over by inflation will be looking for scalps.
Decisions, decisions....
RE: Slavery was almost entirely a private matter.
Please offer a guest lecture. Colleges aren’t teaching anything accurate about slavery.
It means doing what was expected. Anything else opens the gates of reality flooding in, reality being; 1) waited way to long to temper inflation with rate hikes and that horse has left the barn 2) continuing to raise rates will stifle what is an already weakening economy, possibly in recession and 3) providing cover for stressed banks. All done likely to postpone a meltdown until after next big election cycle.
Cut spending by 10% per year for five years would do wonders. 90% of the Federal government should be eliminated. People should ask themselves where all these federal agencies came from.
We are all screwed
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