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Prob confused after the third Southern Comfort.
(lol stepping on your own for a glib comeback)
Prob confused after the third Southern Comfort.
what a lightweight
Again doesn't understand 401K or mutual funds.
Garbage drink
explain it for us, profe.
then show your work. how is it all Joe Biden's fault?
Explain to us how Biden personally ruined your investment plan and only made you change it almost two years into his administration.
This should be epic.
Pointing out your 'hurting' is relative, just that.
You know you can change your contribution amounts, you can also decide in what to invest, etc?
Who really doesn't understand 401Ks or MFs here?
Look, as far as the Fed, this is exactly what they did the last time we had runaway inflation, so the argument that they don't know what they're doing or what they're doing is not proven is bunk.
What will eventually be debated ad-nauseum is if they held on to high rates too long or not and at what cost.
7 trillion + of QE between the last two administrations is mainly responsible for this inflation bubble. The fed chose to crash dive out of it instead of a gradual glide down as that QE worked its way out of the system. We will know in a couple of years if this was the right approach.
Of course they're better. The Fed isn't using real data to make monetary policy -- it relies on the BLS which doesn't actually provide data on prices. It interviews people on their feelings about prices. It's absurd that the ins ution that is "in charge" of controlling inflation uses that kinda data. The experts I'm referring to are people who are actually monitoring changes in prices. And they've all been saying that prices have been coming down for a while now.
Whether the Fed can affect supply-side issues is material. Supply chains, limited inventories, workforce issues, etc... all directly impact the availability of goods and services. Which is the cause of inflation. We agree that the Fed has a tool to affect inflation - it's ham-fisted, awkward, and wreaking unnecessary and prolonged economic havoc globally.
What have you seen that indicates the Fed's data is reliable or that what it is doing has been economically effective?
The supply side stuff has been a real pain in the ass to work through. Lead times on the industrial stuff I deal with have been horrendous and a lot of stuff they won't even tell you when it will be available. A lot of quotes are only good for 5-10 days and I have even got some quotes that are only good till the end of the day. It's a crazy market.
You’re in agreement about your take being stupid?
Over a million Americans died
So why do people get so worked up over cancer? Darrins mom survived it after all
I was pointing that we seem to agree about what the Fed is doing. I have no idea why vy65 thinks my take was dumb. Vehement agreement, I guess.
Your post was opaque, to say the least. The next time you vehemntly agree with me will be the second time.
Textbook narcissism.
all good
The last time this happened back in the 70's, this is the tool they used to bring it back into control. It worked. All these so-called 'experts' never actually had to go through this and all they have are theories and opinions. The Fed hasn't just talked about it, but actually have done it.
Mind you, this is the only tool they have. They will be aggressive with it, because hurting certain parts of the economy is less damaging than hurting the economy as a whole (which is what inflation does).
Like I said, the argument really isn't whether they should use this tool, they will. What we're probably going to be discussing non-stop in due time is if they went too far with it or not.
There are contextual reasons for that. From a one in a century event like COVID to now a major conflict. Some of these things will take time to level off, but that doesn't mean you shouldn't try to use the tools available to mitigate inflation in the meantime.
It should also be noted, in case some people have not, that Russia is feverishly trying to undermine the US Dollar as well (primarily due to sanctions, but in global commerce as well). Which is also another reason you want a strong dollar, and inflation under control.
Supply chain issues and greed. The Fed's strategy is from previous wars.
https://www.theguardian.com/business...est-rate-hikesThe price drops aren’t materializing because current inflation largely isn’t demand- or labor-driven as it often is during inflationary periods, said Claudia Sahm, a former Fed economist and founder of Sahm Consulting.
“High inflation is not workers’ fault, but the Fed is waging a war on US workers,” Sahm said.
Lael Brainard, Federal Reserve Board vice-chair, even acknowledged the roles of pricing and supply chain disruptions during a speech this week before the National Association for Business Economics. Retail profit margins have increased 20% since the pandemic’s onset, Brainard noted, roughly doubling the 9% increase in average hourly earnings by the sector’s employees.
In the auto sector, margins for vehicles sold at dealerships have increased by more than 180% since February 2020 – about 10 times the rise in the sector’s average hourly earnings, Brainard said.
“The return of retail margins to more normal levels could meaningfully help reduce inflationary pressures in some consumer goods,” she added.
There's nothing the Fed can do about this, tbh, so not sure why would anybody be mad with them over this.
What the Fed can do is try to remove excess liquidity from the market, and that's exactly what it's doing.
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