Fed Raises Interest Rates Again

[gipper]

WOW!!!

You should be embarrassed by your stupidity. True Republican ignorance right here, what a fool.

GET THIS THROUGH YOUR HEAD:

The FED cut rates to ZERO under Bush because he blew up the economy. The FED did not cut rates 1 time under Obama.
The FED raised rates under Obama because Obama fixed the republican mess that he inherited. Your entire statement is 100% false, you need to do some homework.

It's better to keep your mouth shut and appear stupid than open it and remove all doubt”
-Mark Twain

My mistake" The Fed raised interest rates once in eight years during the Obama years. After Raising Rates Once During The Obama Years, The Fed Promises Constant Rate Hikes During The Trump Era
This shows how rates have been hiked with Trump in office. My point stands, fool.

Well you tried to claim that they cut rates under Obama, which was false, and they started raising under Obama.

SO you think that we should just have rates at 0.25-.5% without raising them?? This is why you don't increase annual deficits by $800 Billion a year 8+ years into an economic expansion like Trump did.

Trump's economic policies are disastrous and when his massive borrowing and spending crashes the economy, just like Bush, we will be in big trouble.

You should try educating yourself, here this might help:


What is David Stockman just some liberal?? Bush and Trump, 2 complete disasters.

LOL. You give big ears a pass, while condemning the Rs. Partisans are so silly. Do they even listen to themselves?

 

[RealDave]

What the fuck are they thinking?

Simple...they need this monetary tool to deal with a serious economic downturn. They have to get rates up, else they won't have much room to lower them.

They just eliminated another tool, the tax cut.

If we plunge into another large recession, how will we fight it without lowering interest rates, cutting taxes, or borrow money for stimulus (we will approach a trillion deficit this year)

Trump has already used all of these to create an economy based on a house of cards. I fear any recession now will be the big one.

Its like emptying your IRA to but a bigger house, maxing your credit on a new boat & truck, and getting hit with a $50,000 medical bill.

 

[Fort Fun Indiana]

They just eliminated another tool, the tax cut

Yep.

Whatever the depth of the next recession, of there is one, the tools for recovery have been stripped away.

 

[Eric Arthur Blair]

I know why. It is you, flailing in ignorance.

And my chart introduced into evidence shows another story. it shows you are the ignorant one in addition to being a liar
and a disagreeable ass.

 

[Eric Arthur Blair]

Well you tried to claim that they cut rates under Obama, which was false, and they started raising under Obama.

I corrected my one error so why pretend I did not?
My point was the Fed has jacked up the interest rates under Trump multiple time in his less than one full term.
While during Obama's eight years in office there was one small rate adjustment upward and then absolutely nothing else!
It doesn't take an economic genius to see the Fed was helping their friend Barry and are trying to tamp down the Trump economy. I suggest you consult the visual evidence I provided.

SO you think that we should just have rates at 0.25-.5% without raising them?? This is why you don't increase annual deficits by $800 Billion a year 8+ years into an economic expansion like Trump did.

Trump's economic policies are disastrous and when his massive borrowing and spending crashes the economy, just like Bush, we will be in big trouble.

As opposed to what? Obama's borrowing and spending? You act as if after Bush and before Trump there was nothing going on at all when in fact he accelerated the path to economic ruin we are on.
It's dishonest bullshit!

You should try educating yourself, here this might help:
What is David Stockman just some liberal?? Bush and Trump, 2 complete disasters.

And what does he say about Obama? Your outrage and attention are highly selective.

 

[Fort Fun Indiana]

And my chart introduced into evidence shows another story.

No it didn't. What a ridiculous thing to say. Your chart in no way supported your goofy conspiracy theory implications. Damn dude, you will just say anything, won't you?

 

[The Banker]

Well you tried to claim that they cut rates under Obama, which was false, and they started raising under Obama.

I corrected my one error so why pretend I did not?
My point was the Fed has jacked up the interest rates under Trump multiple time in his less than one full term.
While during Obama's eight years in office there was one small rate adjustment upward and then absolutely nothing else!
It doesn't take an economic genius to see the Fed was helping their friend Barry and are trying to tamp down the Trump economy. I suggest you consult the visual evidence I provided.

SO you think that we should just have rates at 0.25-.5% without raising them?? This is why you don't increase annual deficits by $800 Billion a year 8+ years into an economic expansion like Trump did.

Trump's economic policies are disastrous and when his massive borrowing and spending crashes the economy, just like Bush, we will be in big trouble.

As opposed to what? Obama's borrowing and spending? You act as if after Bush and before Trump there was nothing going on at all when in fact he accelerated the path to economic ruin we are on.
It's dishonest bullshit!

You should try educating yourself, here this might help:
What is David Stockman just some liberal?? Bush and Trump, 2 complete disasters.

And what does he say about Obama? Your outrage and attention are highly selective.

Rewatch the Stockman video, what he says about Obama is minimal while he completely eviscerates Trump's entire economic plan:

"Trump's crazy. 10th year of an expansion and he's driving the deficit to $1.2 Trillion.This is unprecedented! This would be considered absolute sheer insanity
There's no question it's unprecedented (host says)"

The bulk of the corporate tax cut money was not spent on Cap Ex, it was spent on stock buybacks that do nothing to boost growth- This is incredibly stupid (as Stockman says) and is a major problem.

That's the problem right there. Trump inherited `~$500B in deficits, He has blown up the deficit 10 years into an economic expansion, when we should be lowering the deficit. Obama definitely added to the deficit, but he inherited massive deficits from Bush and his economic meltdown, and Obama's big deficits were only for a few years while the economy was recovering, Obama passed off manageable (lower) deficits compared to what he inherited from Bush. Clearly you don't know how Keynesian economics works, look it up, but briefly:
You have a crash (which results in a big revenue shortfall from less tax revenue), you borrow money and stimulate the economy (what Obama did), then you reduce spending to balance budgets (not triple the annual deficit like Trump did), then you try to keep the economic cycle expanding as long as possible.

Trump's tax cuts have produced a sugar high (as Stockman said in the video), that will not last, and with that little pop the FED raised rates into it because you have to normalize rates plain and simple. Trump should have thought of that before he borrowed $ Trillions and pumped it into the economy.

If Trump is unhappy he should have kept Janet Yellen as Powell is his guy. Trump only has himself to blame.

Clearly you don't understand that you can't have <2% rates forever.

IF the economy can't withstand a little 0.25% raise to 2.25% (just a paper cut) then it was going to crash regardless.

Normal rates are around 5% and aggressive is above that

 

[Eric Arthur Blair]

Clearly you don't understand that you can't have <2% rates forever.

IF the economy can't withstand a little 0.25% raise to 2.25% (just a paper cut) then it was going to crash regardless.

Normal rates are around 5% and aggressive is above that

But you could have Obama with a static single low rate (one minimal raise in eight years) vs. Trump who will see a constantly upward adjusting rate during his time in office? That's been my point and no one can refute it or care to explain the obvious coddling of Obama by the Fed as opposed to Trump being slammed with rate hikes, now and in the future.

"So Barack Obama got to enjoy the benefit of having interest rates slammed to the floor throughout his presidency, and now Donald Trump is going to have to fight against the economic drag that constant interest rate hikes will cause.
How is that fair?" After Raising Rates Once During The Obama Years, The Fed Promises Constant Rate Hikes During The Trump Era

It isn't and the citizenry will be slammed with higher interest rates on everything they do so the ideologues at the Fed can do their bit to pull Trump down.

I'm not thrilled with Trump's economic policies so far but that isn't the point.
How is the Fed and their partisan string pulling helping anything?

 

[Fort Fun Indiana]

That's been my point and no one can refute it or care to explain

Haha...no. It's just that you have made it obvious you have no interest in the explanation, else you would step outside the wingnut bubble and look it up for yourself.

 

[The Banker]

Clearly you don't understand that you can't have <2% rates forever.

IF the economy can't withstand a little 0.25% raise to 2.25% (just a paper cut) then it was going to crash regardless.

Normal rates are around 5% and aggressive is above that

But you could have Obama with a static single low rate (one minimal raise in eight years) vs. Trump who will see a constantly upward adjusting rate during his time in office? That's been my point and no one can refute it or care to explain the obvious coddling of Obama by the Fed as opposed to Trump being slammed with rate hikes, now and in the future.

"So Barack Obama got to enjoy the benefit of having interest rates slammed to the floor throughout his presidency, and now Donald Trump is going to have to fight against the economic drag that constant interest rate hikes will cause.
How is that fair?" After Raising Rates Once During The Obama Years, The Fed Promises Constant Rate Hikes During The Trump Era

It isn't and the citizenry will be slammed with higher interest rates on everything they do so the ideologues at the Fed can do their bit to pull Trump down.

I'm not thrilled with Trump's economic policies so far but that isn't the point.
How is the Fed and their partisan string pulling helping anything?

You have to look at the economy performance and the president's policies.

1. The economy under Obama was solid, but fragile because he inherited the biggest financial disaster since 1930. Still they transitioned from highly accommodative monetary policy with heavy QE, to a reduction in QE, to no QE, to rate raising. You don't just go from QE to rate raises, it has to be gradual and it was.

2. Obama inherited a crisis and passed off a solid economy with low unemployment, but with lower growth. You have to understand that reducing and stopping QE is similar to a rate raise it is normalizing monetary policy so they gradually went from accommodative to normalizing under Obama, under trump they have kept on the same path of normalizing. In Obama's 8 years first he inherited the biggest financial mess since 1930, then he had massive stimulus, then when the economy started to recover they tapered the stimulus, then they started the rate raising process, then under Trump they continued the rate raising process.

3. Then comes Trump with his massive massive borrowing and deficit spending, pumping borrowed stimulus back into the economy, this caused a temporary sugar high pop and it was appropriate to raise rates into this pop- plain and simple.

REMEMBER: Trump and all you other GOP said "This is the greatest economy ever!" Well when you have the supposed greatest economy ever and 1% interest rates you have to normalize rates into that- plain and simple.

Funny how beginning 2018 we had the greatest economy ever according to you and Trump and now the FED is sabotaging the economy??????? Just so you know raising rates from 1% to 2% during a supposed greatest economy ever is not sabotaging the economy.

4. The reason they are raising rates now is simple, Trump's debt fueled economic policies have helped the economy, but it is not a sustainable boost. Trump and his experts should have thought of that before hand... Trump caused a mini debt fueled bubble. We had extremely low interest rates and had to normalize them plain and simple. The economic data supported rate increases, so they raised rates.

Finally Trump has only himself to blame: his debt fueled policies AND he should have kept Yellen, she was better than Powell. He got rid of Yellen for no reason. Powell needs to do better, raise rates but use dovish language, just like Yellen did. Remember the term "dovish hike" that's Yellen. So Trump only has himself to blame, clearly this is too much for Trump to handle because he is fucking up...

Watch this video and it explains why the economy is in trouble, because of Trump's crazy policies:

 

[Eric Arthur Blair]

1. The economy under Obama was solid, but fragile because he inherited the biggest financial disaster since 1930. Still they transitioned from highly accommodative monetary policy with heavy QE, to a reduction in QE, to no QE, to rate raising. You don't just go from QE to rate raises, it has to be gradual and it was.

By "gradual" you mean one small raise in the span of eight whole years....right?
Ok...thanks.

Btw...if the Fed was so afraid of damaging a recovering economy under Obama
and you state categorically that Trump is driving us over a cliff. why is the Fed.
making matters worse by raising rates multiple times now?

Your rationales really aren't adding up, are they.

 

[Eric Arthur Blair]

Haha...no. It's just that you have made it obvious you have no interest in the explanation, else you would step outside the wingnut bubble and look it up for yourself.

Thanks, troll. You add so much by not being here.

 

[The Banker]

1. The economy under Obama was solid, but fragile because he inherited the biggest financial disaster since 1930. Still they transitioned from highly accommodative monetary policy with heavy QE, to a reduction in QE, to no QE, to rate raising. You don't just go from QE to rate raises, it has to be gradual and it was.

By "gradual" you mean one small raise in the span of eight whole years....right?
Ok...thanks.

Btw...if the Fed was so afraid of damaging a recovering economy under Obama
and you state categorically that Trump is driving us over a cliff. why is the Fed.
making matters worse by raising rates multiple times now?

Your rationales really aren't adding up, are they.

Did you even read what I said, they went from heavy QE to raising rates under Obama, that is a big tightening in monetary policy. Heavy QE to raising rates, look that up to understand what it means. Under Trump they have continued to tighten.

Look at the economic data, GDP 3+%, ~4% unemployment , interest rates at 1%, they have to be raised into that. That is a fact, and if you can't understand that there is no debating you because you can't understand that the sky is blue and the earth is round.

Where should they have raised rates under Obama? Where was the economic data strong enough to raise more? What meeting was there when people said they should've raised rates, but didn't?????? You don't seem to understand how the FED operates. It is all based on data.

What is the current data? GDP just came in at 3.4% TODAY, unemployment is low, they are going to raise.

Look at Clinton's economy, he had great growth, low unemployment, high stock market and they raised rates repeatedly above 6%. With no crying from democrats. The difference is Clinton balanced budgets whereas Trump has blown them up with massive deficit spending that can't be sustained so everybody is scared about the future of the economy.

Did you even watch the Stockman video I posted, it sums it up perfectly.

The problem is not that they raised rates to 2.25%, but that it has become obvious that Trump's economic policies can't be sustained, growth is going to slow, and Powell stupidly said just that, that he predicts growth to slow.
Powell made a mistake when he said he expects growth to slow.

Trump has made mistakes with massive spending, trade wars, and now this stupid shutdown over a border wall??? Stupidity


Show me a FED meeting under Obama where they should have raised rates, but didn't...

 

[Eric Arthur Blair]

Did you even read what I said, they went from heavy QE to raising rates under Obama, that is a big tightening in monetary policy. Heavy QE to raising rates, look that up to understand what it means. Under Trump they have continued to raise rates.

Look at the economic data, GDP 3+%, ~4% unemployment , interest rates at 1%, they have to be raised into that. That is a fact, and if you can't understand that there is no debating you because you can't understand that the sky is blue and the earth is round.

Where should they have raised rates under Obama? Where was the economic data strong enough to raise more? What meeting was there when people said they should've raised rates, but didn't?????? You don't seem to understand how the FED operates. It is all based on data.

What is the current data? GDP just came in at 3.4% TODAY, unemployment is low, they are going to raise.

Look at Clinton's economy, he had great growth, low unemployment, high stock market and they raised rates repeatedly above 6%. With no crying from democrats. The difference is Clinton balanced budgets whereas Trump has blown them up with massive deficit spending that can't be sustained so everybody is scared about the future of the economy.

Did you even watch the Stockman video I posted, it sums it up perfectly.

The problem is not that they raised rates to 2.25%, but that it has become obvious that Trump's economic policies can't be sustained, growth is going to slow, and Powell stupidly said just that, that he predicts growth to slow. Powell made a mistake when he said he expects growth to slow.


Show me a FED meeting under Obama where they should have raised rates, but didn't...

Your faith in the honesty and good stewardship of the Federal Reserve Bank (a bank that is not Federal but a private consortium that John Kennedy tried to bring under control....we see where it got him) is touching but misplaced.


The Fed bought up debt and kept interest rates unnaturally low so as to make Obama look good. The Federal Reserve Bank (which is out of it's reserve, by the way, after the Obama years) should have raised rates plenty of times, as they feel free to do now, but that would have been an unpopular move pulling the rug out from under the president that
gave the illusion of stability and good economic policy by Barry Hussein Obama.

 

[The Banker]

Did you even read what I said, they went from heavy QE to raising rates under Obama, that is a big tightening in monetary policy. Heavy QE to raising rates, look that up to understand what it means. Under Trump they have continued to raise rates.

Look at the economic data, GDP 3+%, ~4% unemployment , interest rates at 1%, they have to be raised into that. That is a fact, and if you can't understand that there is no debating you because you can't understand that the sky is blue and the earth is round.

Where should they have raised rates under Obama? Where was the economic data strong enough to raise more? What meeting was there when people said they should've raised rates, but didn't?????? You don't seem to understand how the FED operates. It is all based on data.

What is the current data? GDP just came in at 3.4% TODAY, unemployment is low, they are going to raise.

Look at Clinton's economy, he had great growth, low unemployment, high stock market and they raised rates repeatedly above 6%. With no crying from democrats. The difference is Clinton balanced budgets whereas Trump has blown them up with massive deficit spending that can't be sustained so everybody is scared about the future of the economy.

Did you even watch the Stockman video I posted, it sums it up perfectly.

The problem is not that they raised rates to 2.25%, but that it has become obvious that Trump's economic policies can't be sustained, growth is going to slow, and Powell stupidly said just that, that he predicts growth to slow. Powell made a mistake when he said he expects growth to slow.


Show me a FED meeting under Obama where they should have raised rates, but didn't...

Your faith in the honesty and good stewardship of the Federal Reserve Bank (a bank that is not Federal but a private consortium that John Kennedy tried to bring under control....we see where it got him) is touching but misplaced.


The Fed bought up debt and kept interest rates unnaturally low so as to make Obama look good. The Federal Reserve Bank (which is out of it's reserve, by the way, after the Obama years) should have raised rates plenty of times, as they feel free to do now, but that would have been an unpopular move pulling the rug out from under the president that
gave the illusion of stability and good economic policy by Barry Hussein Obama.

If you somehow think that the FED is picking and choosing what presidents to help/hurt that is just plain laughable.

This is why republicans are the party of failure, you can't take responsibility for any of your actions. You blame everyone else for your problems. I'm sure Bush made no mistakes either...

The FED did not triple the annual deficit, the FED did not start a trade war, the FED isn't trying to shut down the government over a do nothing border wall, the FED does not act emotionally and erratically like a little child...

Powell is Trump's guy and Trump has only himself to blame for replacing Yellen with Powell.

It's time to take personal responsibility for your policy, instead of passing off blame on everyone else.

Rewatch the video and you will see that Trump's policies are to blame, not the FED.

 

[Eric Arthur Blair]

If you somehow think that the FED is picking and choosing what presidents to help/hurt that is just plain laughable.

I find no other explanation for the way Obama was protected and insulated by the Fed from his own horrible policies for eight straight years. If you thinks that's funny that's your business.

Interest rates kept artificially low and stable for his two terms.
Fiat money printed up and called Quantitative Easing.
Debt bought up by the Federal Reserve Bank to keep Obama from harm.
The Fed and Fiscal Policy During the Obama Years | RealClearMarkets

Quantitative Easing

 

[Fort Fun Indiana]

If you somehow think that the FED is picking and choosing what presidents to help/hurt that is just plain laughable.

I find no other explanation for the way Obama was protected and insulated by the Fed from his own horrible policies for eight straight years. If you thinks that's funny that's your business.

Interest rates kept artificially low and stable for his two terms.
Fiat money printed up and called Quantitative Easing.
Debt bought up by the Federal Reserve Bank to keep Obama from harm.
The Fed and Fiscal Policy During the Obama Years | RealClearMarkets

Oh look! You furiously googled to find an agreeable opinion of a right wing polemic. How adorable.

 

[Eric Arthur Blair]

Oh look! You furiously googled to find an agreeable opinion of a right wing polemic. How adorable.

Trolls gotta be trollin'.

 

[Fort Fun Indiana]

Oh look! You furiously googled to find an agreeable opinion of a right wing polemic. How adorable.

Trolls gotta be trollin'.

Except you are the troll. You are the grown man that won't lift a finger to educate yourself on anything but your embarrassingly stupid wingnut conspiracy theory. Then you fail not only to acknowledge the points and explanations given by others (that you begged for instead of getting off your lazy ass to look up for yourself), you don't even acknowledge their efforts (which are more than a dishonest troll like you deserves).

 

[The Banker]

If you somehow think that the FED is picking and choosing what presidents to help/hurt that is just plain laughable.

I find no other explanation for the way Obama was protected and insulated by the Fed from his own horrible policies for eight straight years. If you thinks that's funny that's your business.

Interest rates kept artificially low and stable for his two terms.
Fiat money printed up and called Quantitative Easing.
Debt bought up by the Federal Reserve Bank to keep Obama from harm.
The Fed and Fiscal Policy During the Obama Years | RealClearMarkets

Quantitative Easing

Simple explanation:

The economic data was not strong enough to warrant more raises, plain and simple- Find real economists that disagree- and I mean real economists, not some wacko right winger with no credibility. I have a whole long list of real economists that agree.

As Trump borrowed insane amounts of $ and pumped it into the economy it caused a sugar high pop that improved the economic data to where the FED could easily raise rates. 3+% GDP ~4% unemployment...

This is pretty simple. It doesn't take a rocket scientist to figure that out...

I get it, you don't want to acknowledge that a Trade war, massive out of control borrowing and spending, a huge corporate tax cut that was not spent on Cap Ex but mainly on stock buybacks and M &A are incredibly stupid and hurting the economy. You can keep up your narrative of the FED is biased, but very few people will listen to that nonsense.

We are going to have back to back GOP presidents that have crashed the economy solely because of their policies, because their policies do not work. You might as well accept it now.