Trump vs Yellen: fed rate hikes should be quicker or slower?

[owebo]

Is she saying that the Fed Reserve will just reduce its balance sheets to reflect it no longer holds these MBS that have matured?

If an MBS matures and they don't buy a new one, the money is extinguished, their sheet shrinks.

I think that's what she's saying. We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation. But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

That seems a pretty sweet way to have weathered the real estate crash. It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't, and in the end that may have doomed the dems as much as Comey and the emails did. But still if the fed hadn't stepped in we may all have lost our asses.

I think that's what she's saying.

She's saying they don't plan to sell bonds.

We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation.

No real inflation during QE. None since the end of QE in October 2014.

But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

Not sure what point you're trying to make here.

That seems a pretty sweet way to have weathered the real estate crash.

Or here.

It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't

Yes, lots of people lost their homes. Banks lost hundreds of billions when they did.

But still if the fed hadn't stepped in we may all have lost our asses.

Yes, flooding the system with liquidity was a good thing.

My only point was that it's pretty sweet. QE may not have had an inflationary effect, despite fears. The only increase in monetary value would be a change in the property value from the time the fed took on the MBS and what it's worth when it's removed from the balance sheet. And that's not inflation, but rather a recovery in the real estate markets.

The inflationary pressure in the economy will come from govt deficit spending (TRUMP) and the slim possibility that Yellen won't raise rates enough.

Of course for those of us still paying off debt we accrued when our paychecks took a hit, this sucks. But the people who voted or Trump are dumb shmucks .... or rich and shrewd

Inflation is out of ******* control.....

Not really.

No, really....

 

[Toddsterpatriot]

I think that's what she's saying. We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation. But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

That seems a pretty sweet way to have weathered the real estate crash. It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't, and in the end that may have doomed the dems as much as Comey and the emails did. But still if the fed hadn't stepped in we may all have lost our asses.

I think that's what she's saying.

She's saying they don't plan to sell bonds.

We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation.

No real inflation during QE. None since the end of QE in October 2014.

But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

Not sure what point you're trying to make here.

That seems a pretty sweet way to have weathered the real estate crash.

Or here.

It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't

Yes, lots of people lost their homes. Banks lost hundreds of billions when they did.

But still if the fed hadn't stepped in we may all have lost our asses.

Yes, flooding the system with liquidity was a good thing.

My only point was that it's pretty sweet. QE may not have had an inflationary effect, despite fears. The only increase in monetary value would be a change in the property value from the time the fed took on the MBS and what it's worth when it's removed from the balance sheet. And that's not inflation, but rather a recovery in the real estate markets.

The inflationary pressure in the economy will come from govt deficit spending (TRUMP) and the slim possibility that Yellen won't raise rates enough.

Of course for those of us still paying off debt we accrued when our paychecks took a hit, this sucks. But the people who voted or Trump are dumb shmucks .... or rich and shrewd

Inflation is out of ******* control.....

Not really.

No, really....

Nah.

 

[owebo]

I think that's what she's saying.

She's saying they don't plan to sell bonds.

We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation.

No real inflation during QE. None since the end of QE in October 2014.

But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

Not sure what point you're trying to make here.

That seems a pretty sweet way to have weathered the real estate crash.

Or here.

It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't

Yes, lots of people lost their homes. Banks lost hundreds of billions when they did.

But still if the fed hadn't stepped in we may all have lost our asses.

Yes, flooding the system with liquidity was a good thing.

My only point was that it's pretty sweet. QE may not have had an inflationary effect, despite fears. The only increase in monetary value would be a change in the property value from the time the fed took on the MBS and what it's worth when it's removed from the balance sheet. And that's not inflation, but rather a recovery in the real estate markets.

The inflationary pressure in the economy will come from govt deficit spending (TRUMP) and the slim possibility that Yellen won't raise rates enough.

Of course for those of us still paying off debt we accrued when our paychecks took a hit, this sucks. But the people who voted or Trump are dumb shmucks .... or rich and shrewd

Inflation is out of ******* control.....

Not really.

No, really....

Nah.

Yeah.....it's over your head....

 

[Toddsterpatriot]

My only point was that it's pretty sweet. QE may not have had an inflationary effect, despite fears. The only increase in monetary value would be a change in the property value from the time the fed took on the MBS and what it's worth when it's removed from the balance sheet. And that's not inflation, but rather a recovery in the real estate markets.

The inflationary pressure in the economy will come from govt deficit spending (TRUMP) and the slim possibility that Yellen won't raise rates enough.

Of course for those of us still paying off debt we accrued when our paychecks took a hit, this sucks. But the people who voted or Trump are dumb shmucks .... or rich and shrewd

Inflation is out of ******* control.....

Not really.

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

 

[owebo]

Inflation is out of ******* control.....

Not really.

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

No...not enough real data....

Posting a metric from an America that no longer exists is done so to fool people...like you obviously.....

 

[JakeStarkey]

A question. the link says Yellen said the fed would not try to sell at least some of the mortgage backed securities (MBS) it holds when the mature. I realize that with the fed reserve "buys" a MBS, it basically does it by "lending" money to one of the fed reserve banks, and the MBS is purchased. Is she saying that the Fed Reserve will just reduce its balance sheets to reflect it no longer holds these MBS that have matured? I think that's what she's saying.

Basically the Fed won't hold the asset, but the value will be retained by the actual properties that the mortgages applied to. Is that right? If so, pretty sweet.

Is she saying that the Fed Reserve will just reduce its balance sheets to reflect it no longer holds these MBS that have matured?

If an MBS matures and they don't buy a new one, the money is extinguished, their sheet shrinks.

I think that's what she's saying. We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation. But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

That seems a pretty sweet way to have weathered the real estate crash. It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't, and in the end that may have doomed the dems as much as Comey and the emails did. But still if the fed hadn't stepped in we may all have lost our asses.

I think that's what she's saying.

She's saying they don't plan to sell bonds.

We worried that the fed was putting too much liquidity in, and eventually we'd have too many dollars chasing "stuff," which means inflation.

No real inflation during QE. None since the end of QE in October 2014.

But if that's what the Fed is doing, there is no real inflation beyond the property secured by the mortgage is no longer encumbered when the mortgage is paid, and the property owner just has an asset that's valued at whatever the real estate market sets the value at.

Not sure what point you're trying to make here.

That seems a pretty sweet way to have weathered the real estate crash.

Or here.

It doesn't alter the fact that a lot of people got foreclosed on and the banks didn't

Yes, lots of people lost their homes. Banks lost hundreds of billions when they did.

But still if the fed hadn't stepped in we may all have lost our asses.

Yes, flooding the system with liquidity was a good thing.

My only point was that it's pretty sweet. QE may not have had an inflationary effect, despite fears. The only increase in monetary value would be a change in the property value from the time the fed took on the MBS and what it's worth when it's removed from the balance sheet. And that's not inflation, but rather a recovery in the real estate markets.

The inflationary pressure in the economy will come from govt deficit spending (TRUMP) and the slim possibility that Yellen won't raise rates enough.

Of course for those of us still paying off debt we accrued when our paychecks took a hit, this sucks. But the people who voted or Trump are dumb shmucks .... or rich and shrewd

Inflation is out of ******* control.....

2%?

 

[JakeStarkey]

Inflation is out of ******* control.....

Not really.

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

Todd, owebo is a sixteen year old board member here.

 

[owebo]

Not really.

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

Todd, owebo is a sixteen year old board member here.

Says the 6 year old....

 

[Toddsterpatriot]

Not really.

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

No...not enough real data....

Posting a metric from an America that no longer exists is done so to fool people...like you obviously.....

You don't have enough real data?
Your claim is based on your feelings. Cool!

 

[Toddsterpatriot]

Not really.

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

Todd, owebo is a sixteen year old board member here.

So he's twice as mature as you. Good to know.

 

[JakeStarkey]

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

Todd, owebo is a sixteen year old board member here.

So he's twice as mature as you. Good to know.

And four times as mature as you.

 

[Toddsterpatriot]

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

Todd, owebo is a sixteen year old board member here.

So he's twice as mature as you. Good to know.

And four times as mature as you.

Go away kid, you're bothering me.

 

[JakeStarkey]

 

[Toddsterpatriot]

Awww....aren't you cute.....

 

[owebo]

No, really....

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

No...not enough real data....

Posting a metric from an America that no longer exists is done so to fool people...like you obviously.....

You don't have enough real data?
Your claim is based on your feelings. Cool!

No, China won't stop manipulating its currency....

Why do you think there's been a rush as of late to ship 78,000 once American factories workers jobs overseas, then import the value added product back here? The inflation is hidden in the profit of the merchandise we buy....look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...then I would believe your outdated FED metric...

 

[Toddsterpatriot]

Nah.

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

No...not enough real data....

Posting a metric from an America that no longer exists is done so to fool people...like you obviously.....

You don't have enough real data?
Your claim is based on your feelings. Cool!

No, China won't stop manipulating its currency....

Why do you think there's been a rush as of late to ship 78,000 once American factories workers jobs overseas, then import the value added product back here? The inflation is hidden in the profit of the merchandise we buy....look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...then I would believe your outdated FED metric...

No, China won't stop manipulating its currency....

Do you feel that gives us more inflation? Less inflation? Hides inflation? Be specific.

The inflation is hidden in the profit of the merchandise we buy....

The chart I posted measures the inflation in consumer spending on goods and services in the U.S. economy.

look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...

PCE inflation doesn't measure profits.

then I would believe your outdated FED metric...

Feel free to post your preferred inflation metric.

 

[owebo]

Yeah.....it's over your head....

Too much real data for you?
Feel free to post your own.

No...not enough real data....

Posting a metric from an America that no longer exists is done so to fool people...like you obviously.....

You don't have enough real data?
Your claim is based on your feelings. Cool!

No, China won't stop manipulating its currency....

Why do you think there's been a rush as of late to ship 78,000 once American factories workers jobs overseas, then import the value added product back here? The inflation is hidden in the profit of the merchandise we buy....look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...then I would believe your outdated FED metric...

No, China won't stop manipulating its currency....

Do you feel that gives us more inflation? Less inflation? Hides inflation? Be specific.

The inflation is hidden in the profit of the merchandise we buy....

The chart I posted measures the inflation in consumer spending on goods and services in the U.S. economy.

look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...

PCE inflation doesn't measure profits.

then I would believe your outdated FED metric...

Feel free to post your preferred inflation metric.

Inflation gives us manipulation....stabilizing cost and restoring what it can of profit lost by inflation....let me give you an example, the make something in the USA at 5 percent profit. Inflation goes up, profits remain the same cost rises, sales plummet. You then make it in China at 50 percent profit. Inflation rises, costs increases are manipulated by China currency, profit decreases to 45 percent to absorb non China related expenses that inflated.....democrats simply could not afford to keep our jobs here under Obama.....

The chart you posted gives price inflation, not profit increase/erosion in the cost...and is based on an America that no longer exists....we make nothing here any longer......

The remainder...RIF....

 

[Toddsterpatriot]

Too much real data for you?
Feel free to post your own.

No...not enough real data....

Posting a metric from an America that no longer exists is done so to fool people...like you obviously.....

You don't have enough real data?
Your claim is based on your feelings. Cool!

No, China won't stop manipulating its currency....

Why do you think there's been a rush as of late to ship 78,000 once American factories workers jobs overseas, then import the value added product back here? The inflation is hidden in the profit of the merchandise we buy....look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...then I would believe your outdated FED metric...

No, China won't stop manipulating its currency....

Do you feel that gives us more inflation? Less inflation? Hides inflation? Be specific.

The inflation is hidden in the profit of the merchandise we buy....

The chart I posted measures the inflation in consumer spending on goods and services in the U.S. economy.

look at the cost of American made goods....The. Tell me compared to their Chinese equivalent, that the profits are the same...

PCE inflation doesn't measure profits.

then I would believe your outdated FED metric...

Feel free to post your preferred inflation metric.

Inflation gives us manipulation....stabilizing cost and restoring what it can of profit lost by inflation....let me give you an example, the make something in the USA at 5 percent profit. Inflation goes up, profits remain the same cost rises, sales plummet. You then make it in China at 50 percent profit. Inflation rises, costs increases are manipulated by China currency, profit decreases to 45 percent to absorb non China related expenses that inflated.....democrats simply could not afford to keep our jobs here under Obama.....

The chart you posted gives price inflation, not profit increase/erosion in the cost...and is based on an America that no longer exists....we make nothing here any longer......

The remainder...RIF....

make something in the USA at 5 percent profit. Inflation goes up, profits remain the same cost rises, sales plummet. You then make it in China at 50 percent profit. Inflation rises, costs increases are manipulated by China currency, profit decreases to 45 percent to absorb non China related expenses that inflated.....

Explain your confusing example. China manipulates their currency....gives us more or less inflation?

The chart you posted gives price inflation,

Yes, because you claimed inflation was out of control, I provided the chart that showed your error.

and is based on an America that no longer exists

The chart is based on consumer spending in America.

we make nothing here any longer......

You need me to post a chart that shows your error here?