> Why would you cut rates when there’s high inflation? <
People are not happy with the borrowing rates on mortgages and cars. Gotta make them happy before the November election.
Cutting rates will fuel inflation. But the effect will be gradual, at least at first. Nobody has time to worry about that. Gotta get Kamala into the White House. That’s Job One.
If they think housing is tight with high rates, do these folks think it will loosen up with lower rates?
Next they will be talking “stimulus” bills.
People deserve high rates for electing Biden/kamalian
A mid September rate cut might goose the stock market, but it won’t do much for the average consumer before election day. Even if lenders change rates fast, so what if the average car loan go from to 10% to 9.5%?