For nearly two years, the job market Americans were told about has been significantly stronger than the one that actually existed, and the Federal Reserve made a major policy decision based on numbers that have since been quietly rewritten.
no way lol, if anything there’s another hike incoming
SAN FRANCISCO, Oct 14 (Reuters) - The Federal Reserve will probably need to increase short-term interest rates further to rein in too-high inflation, San Francisco Federal Reserve President Mary Daly said on Wednesday, but she signaled there is no need to do so at the US central bank’s October 27-28 meeting.
You can tell the Fed doesn’t know what to do given they keep pretending inflation is tied to economic activity and not trade wars and actual wars.
In a normal world the Fed would be calling on the President or Congress to enact policy to curb inflation since its a type of inflation the Fed has no control over, but no one seems to want to call Trump on all the damage he’s been doing.
So there was a planned hike, but due to the revision there isn’t going to be one. So how is that not good news for the stock market? It was bracing for the hike
Right that it still tilts that direction, but it is true that they will lower rates to try to improve employment if employment looks bad, as a general point of strategy. Currently inflation is so bad that even this bad news doesn’t really move the needle in this case.
no way lol, if anything there’s another hike incoming
You can tell the Fed doesn’t know what to do given they keep pretending inflation is tied to economic activity and not trade wars and actual wars.
In a normal world the Fed would be calling on the President or Congress to enact policy to curb inflation since its a type of inflation the Fed has no control over, but no one seems to want to call Trump on all the damage he’s been doing.
So there was a planned hike, but due to the revision there isn’t going to be one. So how is that not good news for the stock market? It was bracing for the hike
Right that it still tilts that direction, but it is true that they will lower rates to try to improve employment if employment looks bad, as a general point of strategy. Currently inflation is so bad that even this bad news doesn’t really move the needle in this case.