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The Federal Reserve may have to make an emergency rate cut soon.
X ^ | Anthony Pompliano

Posted on 04/06/2025 1:33:47 PM PDT by NoLibZone

The Federal Reserve may have to make an emergency rate cut soon.

Inflation has fallen to the lowest levels since 2020.

If this continues, it will be a BIG problem.



TOPICS: Business/Economy; News/Current Events
KEYWORDS: 3dchess; qe; tariffs
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1 posted on 04/06/2025 1:33:47 PM PDT by NoLibZone
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To: NoLibZone

Trump has made it clear he wants rate cuts. He doesn’t like Powell and Powell doesn’t like him. But Powell may have no choice at this point.


2 posted on 04/06/2025 1:39:31 PM PDT by monkeyshine (live and let live is dead)
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To: NoLibZone

Is this a feature of fiat money?


3 posted on 04/06/2025 1:41:46 PM PDT by ComputerGuy ( )
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To: NoLibZone

Well, they’ve said they’re in no hurry.


4 posted on 04/06/2025 1:49:13 PM PDT by fuzzylogic (welfare state = sharing of poor moral choices among everybody)
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To: NoLibZone

if anybody really believes that inflation has fallen, they must be in an isolation cell


5 posted on 04/06/2025 1:49:46 PM PDT by faithhopecharity ("Politicians aren't born, they're excreted." Marcus Tullius Cicero (106 to 43 BCE))
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To: NoLibZone

ZIRP is an economy killer. We need to re-establish that bonds should actually have a positive real rate of the return, not negative.


6 posted on 04/06/2025 1:51:45 PM PDT by rigelkentaurus
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To: faithhopecharity

Inflation can fall to zero. But that simply means prices are staying same. The prices went high because of Bidenflation. Unless inflation turns NEGATIVE, prices will stay high even with zero inflation.


7 posted on 04/06/2025 2:03:30 PM PDT by Bobbyvotes (I am in mid-80's and I am not gonna change my opinions.)
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To: NoLibZone
If you look at the real inflation indexes instead of that unusual propriety index you posted I think you'll see inflation was recently measured as rising.
8 posted on 04/06/2025 2:05:09 PM PDT by Vision (“Our Democracy” means "Our Slush Fund." The Left is hate.)
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To: NoLibZone

Some say that’s the goal of Trumps tariff plan.


9 posted on 04/06/2025 2:06:02 PM PDT by Georgia Girl 2 (The only purpose of a pistol is to fight your way back to the rifle you should never have dropped)
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To: rigelkentaurus

Correctomundo! Capital is life blood of a vibrant economy. Zero interest rates can not attract new capital into the economy.


10 posted on 04/06/2025 2:06:20 PM PDT by Bobbyvotes (I am in mid-80's and I am not gonna change my opinions.)
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To: Vision

all a part of the plan...


11 posted on 04/06/2025 2:07:03 PM PDT by stinkerpot65 (Global warming is a Marxist lie. )
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To: monkeyshine
While Powell is a flawed man this is not personal and the President should not be allowed to artificially stimulate the stock market via interest rate changes when he wants it.

Whether it's the President or someone else artificial stimulation is why the currency has lost it's value. For that you can thank Bill Clinton for starting us down the slippery slope.

BTW, let's say Powell listened to Trump and they announced a huge rate drop tomorrow. The market rises in response which would cause so much money to be around everything would become so expensive riots would probably break out.

12 posted on 04/06/2025 2:11:36 PM PDT by Vision (“Our Democracy” means "Our Slush Fund." The Left is hate.)
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To: Vision
It's really disgusting Presidents feel they can play with the country's way of life by printing money and artificial stimulation. The market is supposed to rise and fall on productivity.

"A democracy cannot exist as a permanent form of government. It can only exist until the majority discovers it can vote itself largess out of the public treasury,"
Alexander Fraser Tytler
13 posted on 04/06/2025 2:16:08 PM PDT by Vision (“Our Democracy” means "Our Slush Fund." The Left is hate.)
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To: faithhopecharity

It is the “true”inflation that has fallen, not the actual inflation that is used in all of us little working people.

Silly rabbit. Don’t you know anything?

Soon though Trump will bring all the jobs being done in china and will pay steak and egg wages. That’ll show all those evil countries blocking our expensive products.

Isolation! Death to world trade!


14 posted on 04/06/2025 2:21:28 PM PDT by Sequoyah101 (Donald John Trump. First man to be Elected to the Presidency THREE times since FDR.)
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To: monkeyshine

If inaction means Powell is villainized it would grease the cogs in the made in the USA plans of the President’s people.

of course whoever was “Effective” President while Joe Turnip was autosigning, only had to put in a call or direct message the Fed to get their Election Bonus rate cut. Doge Boys ought to be able to compare then and now to shine light on how the roaches were in charge last year.


15 posted on 04/06/2025 2:41:50 PM PDT by epluribus_2
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To: NoLibZone

The Fed is the problem


16 posted on 04/06/2025 2:53:26 PM PDT by wny (s)
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To: epluribus_2; Vision

Trump needs rates for come down to spur borrowing and capital investment inside the USA. Right now he’s got a couple trillion pledged but that is mostly by big established cash rich investors and corporations. If you need to borrow at 8%-11% or more depending on the credit worthiness you need a big fat ROI.

I don’t think his opinion on rates has much to do with the stock market. Stocks can be influenced by rates but that’s just one of thousands of possible factors that can move markets.


17 posted on 04/06/2025 3:22:32 PM PDT by monkeyshine (live and let live is dead)
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To: Vision; NoLibZone

“If you look at the real inflation indexes instead of that unusual propriety index you posted I think you’ll see inflation was recently measured as rising.”

CPI (Consumer Price Index) was reported as 2.8% for the 12 month period ending in March 2025. The next report comes on 10 April.

The Fed’s favorite measure (PCE, that includes Government spending, like Medicare/Medicaid), came in lower (2.5%), but still above the Fed’s 2% target on the last report.

They see a lot of detailed internals and trends that contribute to the headline number, so the drop in inflation may well be accelerating.


18 posted on 04/06/2025 3:50:50 PM PDT by BeauBo
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To: Vision; monkeyshine

“While Powell is a flawed man this is not personal”

FWIW, I talked with someone who works with and knows Powell. Their assessment was that Powell “hates” Trump, but that Powell is a very knowledgeable, competent professional about setting rates.

If his personal bias comes into play, they assessed that it would only marginally effect rate decisions, not significantly.


19 posted on 04/06/2025 3:56:26 PM PDT by BeauBo
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To: monkeyshine

actually Trump said he understood why Powell stayed at current level at last meeting, i believe. Powell has made some mistakes - which DJT has criticized him for in the past, justifiably.


20 posted on 04/06/2025 4:07:13 PM PDT by avital2
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