Chairman Powell Poised To Lead Fed In A Major Error!

[JimofPennsylvan]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

 

[Toddsterpatriot]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

 

[Dekster]

30 year mortgage rates have been in steady decline, getting back below 4% while credit card rates have been skyrocketing. Maybe we are in a liquidity trap variant. Not sure.

 

[Toddsterpatriot]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities.

Ummmm...Bernanke raised rates almost the moment he became Chairman in Feb 2006.

Here's the Fed Funds Rate a year before and a year after he took over.

https://fred.stlouisfed.org/graph/fredgraph.png?g=opnw

Where did he create a bubble?

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

US Manufacturing Sinks Into Recession Amid Trade Wars

US Manufacturing Sinks Into Recession Amid Trade Wars

Liberal media my ass

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

 

[Toddsterpatriot]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

The hypocrisy of Trump’s State of the Union jobs claims, in one chart

President Donald Trump during the State of the Union address on Tuesday boasted of an “unprecedented economic boom” and the addition of millions of jobs to the United States economy. Jobs growth trends aren’t all that different from what they were under his predecessor, President Barack Obama, but the way he talks about it, you wouldn’t know it.

The way Trump talks about the jobs market has undergone a pretty dramatic shift in recent years, and not because of a major change in economic trends. It’s because Trump loves moving the goalposts on his measures of success.

The US economy has been steadily adding jobs since the Great Recession. Under President Barack Obama, the economy averaged an additional 109,000 jobs per month, and the administration oversaw 75 consecutive months of growth, the longest streak of total job growth on record.

Under Trump, the trend has continued: The economy has kept adding jobs, and the unemployment rate is now at 4 percent, nearing historically low levels.

Before Trump was president, he consistently lamented that the US economy was flailing and claimed that jobs numbers were made up. But now that he’s in the Oval Office, he’s decided that the jobs numbers are indeed very real and the economy is doing phenomenally.

He called the April 2012 jobs report “terrible” for adding just 72,000 jobs. (During his presidency, he’s seen a month of 73,000 jobs added, and another of 14,000.)

In 2017, Christopher Ingraham at the Washington Post outlined at least 19 times Trump claimed US jobs numbers were made up — before, of course, he was at the helm of the US economy.

He often claimed that the unemployment rate was secretly much higher than was reported, as much as 20, 30, even 40 percent. The jobs report that came out just before the 2016 election, in which 172,000 jobs were added, he said was “terrible” and contained “phony numbers.” Even as president-elect, he said the unemployment number was “totally fiction.”

Now that Trump is in the White House, he’s decided the jobs numbers aren’t phony after all. He consistently celebrates the US jobs market numbers.

Presumably, the Bureau of Labor Statistics hasn’t changed its methodology for calculating job growth. What’s different is what’s convenient for Trump, who has often demonstrated he has no problem bending the truth or lying in order to shape a certain narrative. When he wasn’t president, he wanted to paint the economy as disastrous. Now that he’s in the Oval Office, he wants voters to think everything’s just fine.

I fear Trump will be in a recession before the 2020 election

The US just got its latest sign that the manufacturing sector is slowing down | Markets Insider

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

If lowering the interest rates is the sign of a weak economy that's flailing, Trump's HUGE tax giveaway to us was all for nothing. It didn't work. And how's he going to get us out of a recession? More tax breaks to the rich?

This time will Trump let GM go bankrupt so they can do even more damage to the middle class and labor? Stay tuned.

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

Yea well that was getting us out of the great recession. What is your excuse now in this supposedly booming economy?

If the Federal Reserve follows through on strong hints that it will be cutting interest rates in late July, it will do so in the face of a powerful consumer, a record-breaking stock market and an increasingly difficult case to make for easier monetary policy.

Justifying a policy easing against that kind of a backdrop might be tricky for the Fed, even though markets fully expect a cut this month plus perhaps two more before the end of the year. The central bank is not normally in the business of easing into an economy that is showing few signs of a recession, generally holding fire until more pronounced signs of a slowdown are in view.

But this is not a normal time in the world of monetary policy, and the Fed is likely to follow though despite the solid economic signals.

“It just doesn’t smell right given the strength of the economic data,” said Chris Rupkey, chief financial economist at MUFG Union Bank. “The consumer is back in a big way. You really have to ask yourself why they are going to cut rates.”

Indeed, the latest data points to solid consumers, who accounted for 67.4% of economic activity in the first quarter.

Fed Chairman Jerome Powell, in a speech Tuesday, outlined a laundry list of factors concerning officials.

Along with the usual suspects — the slowing global economy and the back-and-forth trade battle between the U.S. and China — he also cited debt ceiling negotiations in Congress, a potentially messy Brexit and the Fed’s nagging inability to bring inflation up to the 2% target level it feels is healthy in a growing economy.

Chicago Fed President Charles Evans, in a CNBC interview Tuesday, cited inflation as his overriding concern that makes him open to “a couple” rate cuts before the end of the year

Trump's economy reminds me of Reagan. Looks good on the surface but we will pay for it later.

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

Dallas President Robert Kaplan told The Wall Street Journal that falling government bond yields are sending a market signal to the Fed that its funds rate, currently pegged in a range between 2.25% and 2.5%, may be too high.

The all-time low was 0.25 percent. That's effectively zero. The Fed lowered it to this level on Dec. 17, 2008, the 10th rate cut in a little more than a year. It didn't raise rates until December 2015.

Before this, the lowest fed funds rate was 1% in 2003 to combat the 2001 recession. At the time, there were fears that the economy was drifting toward deflation.

 

[Toddsterpatriot]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

The hypocrisy of Trump’s State of the Union jobs claims, in one chart

President Donald Trump during the State of the Union address on Tuesday boasted of an “unprecedented economic boom” and the addition of millions of jobs to the United States economy. Jobs growth trends aren’t all that different from what they were under his predecessor, President Barack Obama, but the way he talks about it, you wouldn’t know it.

The way Trump talks about the jobs market has undergone a pretty dramatic shift in recent years, and not because of a major change in economic trends. It’s because Trump loves moving the goalposts on his measures of success.

The US economy has been steadily adding jobs since the Great Recession. Under President Barack Obama, the economy averaged an additional 109,000 jobs per month, and the administration oversaw 75 consecutive months of growth, the longest streak of total job growth on record.

Under Trump, the trend has continued: The economy has kept adding jobs, and the unemployment rate is now at 4 percent, nearing historically low levels.

Before Trump was president, he consistently lamented that the US economy was flailing and claimed that jobs numbers were made up. But now that he’s in the Oval Office, he’s decided that the jobs numbers are indeed very real and the economy is doing phenomenally.

He called the April 2012 jobs report “terrible” for adding just 72,000 jobs. (During his presidency, he’s seen a month of 73,000 jobs added, and another of 14,000.)

In 2017, Christopher Ingraham at the Washington Post outlined at least 19 times Trump claimed US jobs numbers were made up — before, of course, he was at the helm of the US economy.

He often claimed that the unemployment rate was secretly much higher than was reported, as much as 20, 30, even 40 percent. The jobs report that came out just before the 2016 election, in which 172,000 jobs were added, he said was “terrible” and contained “phony numbers.” Even as president-elect, he said the unemployment number was “totally fiction.”

Now that Trump is in the White House, he’s decided the jobs numbers aren’t phony after all. He consistently celebrates the US jobs market numbers.

Presumably, the Bureau of Labor Statistics hasn’t changed its methodology for calculating job growth. What’s different is what’s convenient for Trump, who has often demonstrated he has no problem bending the truth or lying in order to shape a certain narrative. When he wasn’t president, he wanted to paint the economy as disastrous. Now that he’s in the Oval Office, he wants voters to think everything’s just fine.

I fear Trump will be in a recession before the 2020 election

The US just got its latest sign that the manufacturing sector is slowing down | Markets Insider

I fear Trump will be in a recession before the 2020 election

It's possible. Recessions eventually happen.

 

[Toddsterpatriot]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

If lowering the interest rates is the sign of a weak economy that's flailing, Trump's HUGE tax giveaway to us was all for nothing. It didn't work. And how's he going to get us out of a recession? More tax breaks to the rich?

This time will Trump let GM go bankrupt so they can do even more damage to the middle class and labor? Stay tuned.

Trump's HUGE tax giveaway to us was all for nothing. It didn't work.

It did work. We used to have the highest corporate rate in the 1st world.
Now our rate is reasonable. Individuals also got cuts.

And how's he going to get us out of a recession?

The same way we always get out of a recession.
And hopefully we'll see a stronger recovery than Obama's weak recovery.

 

[Toddsterpatriot]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

Yea well that was getting us out of the great recession. What is your excuse now in this supposedly booming economy?

If the Federal Reserve follows through on strong hints that it will be cutting interest rates in late July, it will do so in the face of a powerful consumer, a record-breaking stock market and an increasingly difficult case to make for easier monetary policy.

Justifying a policy easing against that kind of a backdrop might be tricky for the Fed, even though markets fully expect a cut this month plus perhaps two more before the end of the year. The central bank is not normally in the business of easing into an economy that is showing few signs of a recession, generally holding fire until more pronounced signs of a slowdown are in view.

But this is not a normal time in the world of monetary policy, and the Fed is likely to follow though despite the solid economic signals.

“It just doesn’t smell right given the strength of the economic data,” said Chris Rupkey, chief financial economist at MUFG Union Bank. “The consumer is back in a big way. You really have to ask yourself why they are going to cut rates.”

Indeed, the latest data points to solid consumers, who accounted for 67.4% of economic activity in the first quarter.

Fed Chairman Jerome Powell, in a speech Tuesday, outlined a laundry list of factors concerning officials.

Along with the usual suspects — the slowing global economy and the back-and-forth trade battle between the U.S. and China — he also cited debt ceiling negotiations in Congress, a potentially messy Brexit and the Fed’s nagging inability to bring inflation up to the 2% target level it feels is healthy in a growing economy.

Chicago Fed President Charles Evans, in a CNBC interview Tuesday, cited inflation as his overriding concern that makes him open to “a couple” rate cuts before the end of the year

Trump's economy reminds me of Reagan. Looks good on the surface but we will pay for it later.

Yea well that was getting us out of the great recession. What is your excuse now in this supposedly booming economy?

Current rates are too high.

Trump's economy reminds me of Reagan. Looks good on the surface but we will pay for it later.

Reagan's economy was awesome. Too bad Bush stupidly hiked taxes.

 

[sealybobo]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

If lowering the interest rates is the sign of a weak economy that's flailing, Trump's HUGE tax giveaway to us was all for nothing. It didn't work. And how's he going to get us out of a recession? More tax breaks to the rich?

This time will Trump let GM go bankrupt so they can do even more damage to the middle class and labor? Stay tuned.

Trump's HUGE tax giveaway to us was all for nothing. It didn't work.

It did work. We used to have the highest corporate rate in the 1st world.
Now our rate is reasonable. Individuals also got cuts.

And how's he going to get us out of a recession?

The same way we always get out of a recession.
And hopefully we'll see a stronger recovery than Obama's weak recovery.

How is he going to get us out? You can't say the same way we always do because whatever Obama did, you guys didn't like. You would have done it different. How?

How did you get us out of Bush's first recession? Apparently not a very good way because 6 years later he led us into the Greatest Recession since the Great Depression. I remember one way was he loosened bank regulations so that bankers didn't need to keep so much money on hand in case of an emergency. How did that work out? Almost like he did that shit on purpose.

I love it when you question how Obama got us out of the Greatest Recession since the Great Depression. I don't love the bank giveaway either but Bush/McCain/Romney would have done the same thing only with less oversight. In fact I remember Bush wasn't even going to ask for the money back. He was just going to give the bankers what they wanted no questions asked. Seriously.

 

[Tax Man]

Chairman Jerome Powell and the Federal Reserve Board are poised to make a significant mistake lowering the federal funds rate this month because the Fed will need that tool in 2021-22 when the U.S. economy will very likely take a sharp dive into recession territory because of the consequences of the 2020 election. Keep in mind when the Fed lowers the interest rate they are not going to lower it a miniscule amount they will lower it a quarter point and within six months lower it another quarter point to do otherwise would be a total waste and they are not absolutely foolish so at best going into this financial earthquake like period the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy . The Fed needs to ignore all the self serving whining going on about interest rates that the America people continually hear in the media the current economic situation doesn't warrant lowering interest rates especially in light of what awaits the country when a Democrat takes the Whitehouse in 2021. Granted today we have problems the trade problem with China and we have the nation's economy slowing in part because most of the world's economy is slowing but things are not bad enough to use the "tried and true" tool for saving and pulling America from a recession, the defibrillator for the U.S. economy, interest rate lowering.

No doubt Jerome Powell is a smart economist but he seems to be unduly influenced by the business and investment community in America; of course these groups would be very pleased with lower interest rates it will lower expenses on American business and increase sales in our largely consumer driven economy thus increasing corporate profits and stock prices. Over the last two months he seems to be talking to this community like he will be their Santa Claus; Ben Bernanke did not pander to this community, the investment community pilloried him for keeping interest rates low blaming him for a whole slew of ills from creating a bubble in the real estate market to throwing America's seniors under the bus who depend on fixed income securities. Analysts need to remember Bernanke's time is different than Powell's time, in Bernanke's time the Banking industry was not completely out of the woods confidence in that sector could have faltered and that would have brought on not only a severe recession but quite possibly a depression for when the banking industry crashes the economic contagion is almost unstoppable and it brings down the whole economy - so Bernanke's expansive monetary policy was and is clearly defensible ; Powell's time is different the banking industry is very sound Powell is just dealing with garden variety recessions there is no need to be crazy manic about avoiding one the higher priority is for the Fed to be in the best possible state to lift the country out of recession if it falls into one - the Federal Reserve Board should not want to be in position where when the country falls into a significant recession it has to resort to large scale buying of private sector debt, like the European Central Bank, because large private sector bond purchases will expose the Fed to significant injury from large private sector bond defaults which will weaken the dollar because buyer's to some degree will consider America's Central Bank as an entity that just prints money that does not have good financial controls for its system.

Prudence calls for the conclusion that financial earthquakes will hit the American economy at the end of 2021-2022. Barring the Democrat Party form nominating a socialist at heart (Medicare for all, free college for all, Federal Government sending American families money every month so they can pay their bills, etc.) in 2020 they will take back the White House, for the evidence is overwhelming Donald Trump is unfit to be President of the United States and most Americans now realize this. What happens when the American people give a particular party's candidate the Presidency they also give to that President's Party a lot of additional seats in Congress, so in all probability in 2021 the Democrats will control the White House and both chambers of Congress. Any competent student of American politics knows that this means that the corporate tax rate will go up to twenty-five percent and all the tax rates for the wealthy in America will be raised to the level they were at before the Trump tax cuts; the Democrats will do this thru the legislative mechanism called reconciliation where they only need a majority of votes in the Senate instead of the ordinary sixty vote threshold on non budgetary legislation - the same mechanism the Republicans used to pass the irresponsible three trillion increase in the national debt over ten years tax legislation they passed in 2017. Any prudent assessment will conclude this tax increase will jar the U.S. economy in a major negative manner putting America on a trajectory for a major recession. The Federal Reserve Board should consider that if they are really optimally doing their duty they will not jeopardize the long-term welfare and well-being of the U.S. economy for short term gain!

I think they should increase it by 1/8th point. That way trump is not going to have any excuses for his total failure.a

 

[Toddsterpatriot]

the Fed will only have a Fed Funds rate of between 1.75% and 2.0% not much stimulus power available to save the U.S. economy .

How much stimulus do you think they'll need to fight the next recession?
It's not like we have a government exacerbated housing bubble getting ready to burst.

Barring the Democrat Party form nominating a socialist at heart

Which of the 20 bozos isn't a socialist at heart?

in 2020 they will take back the White House

Meh.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President? Now you need to tell Trump to take the training wheels off this fake ass economy. He just gave a huge tax break away for basically 2 years of stimulus. Obama knew it wasn't worth it to give the corporations and rich those tax breaks. Now we don't have any money. Now taxes on us have to go up. Or state and local taxes. Or cuts to social programs that middle class people benefit from.

Remember you guys mocked President Obama because the Feds wouldn't raise interest rates when he was President?

I remember Obama's recovery was so weak....he needed 0% rates for 7 years and trillions in QE.

If lowering the interest rates is the sign of a weak economy that's flailing, Trump's HUGE tax giveaway to us was all for nothing. It didn't work. And how's he going to get us out of a recession? More tax breaks to the rich?

This time will Trump let GM go bankrupt so they can do even more damage to the middle class and labor? Stay tuned.

Trump's HUGE tax giveaway to us was all for nothing. It didn't work.

It did work. We used to have the highest corporate rate in the 1st world.
Now our rate is reasonable. Individuals also got cuts.

And how's he going to get us out of a recession?

The same way we always get out of a recession.
And hopefully we'll see a stronger recovery than Obama's weak recovery.

How is he going to get us out? You can't say the same way we always do because whatever Obama did, you guys didn't like. You would have done it different. How?

How did you get us out of Bush's first recession? Apparently not a very good way because 6 years later he led us into the Greatest Recession since the Great Depression. I remember one way was he loosened bank regulations so that bankers didn't need to keep so much money on hand in case of an emergency. How did that work out? Almost like he did that shit on purpose.

I love it when you question how Obama got us out of the Greatest Recession since the Great Depression. I don't love the bank giveaway either but Bush/McCain/Romney would have done the same thing only with less oversight. In fact I remember Bush wasn't even going to ask for the money back. He was just going to give the bankers what they wanted no questions asked. Seriously.

How is he going to get us out?

The same way we always get out of a recession.
We'll spend a little more more. Cut taxes a little....and try not to be as stupid as Obama.

You can't say the same way we always do because whatever Obama did, you guys didn't like.

Only because almost everything he did sucked.

You would have done it different. How?

I wouldn't have tried to crucify the banks.......and then whine that they weren't lending enough.
I wouldn't have spent 8 years "studying" pipelines before saying no.
I wouldn't have cut off oil exploration or added tens of thousands of pages of stupid regulations.

I love it when you question how Obama got us out of the Greatest Recession since the Great Depression.

The recession ended in June 2009. Nothing he did as President had anything to do with that.

In fact I remember Bush wasn't even going to ask for the money back. He was just going to give the bankers what they wanted no questions asked. Seriously.

Link? Seriously.