Trump calls for politicians to control interest rates and inflation

[OKTexas]

Wrong.

The home ownership rate has remained steady since the pandemic. In fact, it has been higher during Biden's term than during Trump's administration, with the exception of the pandemic spike when interest rates were the lowest in decades.

That's when I refinanced my mortgage. I have a ridiculously low rate.

See for yourself:

Homeownership Rate in the United States

Graph and download economic data for Homeownership Rate in the United States (RHORUSQ156N) from Q1 1965 to Q2 2024 about homeownership, housing, rate, and USA.

fred.stlouisfed.org

Actually the graph shows a decline. And I did the same thing, 2.25%, and I'll never let it go.

.

 

[g5000]

Monetized debt is still debt. For this topic, debt added by president, it doesn't matter.

A president can add all the debt he wants, and it won't matter, as far as inflation goes, so long as it is not monetized by the Fed.

What will destroy us is the interest on our debt.

At some point, investors are not going to trust us to pay it all back, and they will demand higher interest on our debt, and then we go into a death spiral.

 

[g5000]

Actually the graph show a decline. And I did the same thing, 2.25%, and I'll never let it go.

.

You are being disingenuous. That tiny decline at the end of the chart is still higher than it was in the 2017-2020 period.

 

[Stann]

Oh, unlike what we have now? LMAO xiden is racking up 10 billion in new debt daily.

.

I don't believe those figures ,they don't add up. Trump's 4 year term as president was much higher ( and most of that debt occurred before the pandemic came on the scene ) and that only was $5, 388,809,034.91 per day. His was the most expensive administration in history.

 

[g5000]

No one knows what the future will bring BUT you can almost bet for sure no matter who wins we will have more inflation. The degree largely depends on how the world situation improves or worsens. I am concerned it's going to worsen. No one is addressing the primary problems as of yet.

There is no guarantee we will have inflation.

You should have seen inflation in the 70s. It got up to 18 percent and was really sticky. Horrible time.

 

[bendog]

Here's a chart of the Fed's balance sheet:

Recent balance sheet trends

The Federal Reserve Board of Governors in Washington DC.

www.federalreserve.gov

In particular, he cited the FOMC’s November 2021 announcement that it would begin tapering its asset purchases, as well as the end of those asset purchases and the start of the increases in the federal funds rate target range in March 2022.

“During the first half of 2022, growth in the FOMC-influenced monetary base fell to negative levels and thereby tended to reduce broader aggregates, such as M2,” Neely wrote.

A Look at M2 Growth and Inflation in Recent Years

The M2 measure of the money supply increased rapidly and then declined at record rates in recent years. Inflation has been following M2 growth with a lag.

www.stlouisfed.org

I kept looking at M2, and perhaps that was too simple minded.

 

[Godboy]

No one knows what the future will bring BUT you can almost bet for sure no matter who wins we will have more inflation. The degree largely depends on how the world situation improves or worsens. I am concerned it's going to worsen. No one is addressing the primary problems as of yet.

The right has been SCREAMING about the economy for years now. No one on the left evrn mentions it.

 

[Toddsterpatriot]

Again, not all $35 trillion of our debt has been monetized.

That's why we don't have hyperinflation.

$9 trillion of debt has been monetized, but not all of it is federal debt. Some of it is Wall Street debt, but I have no idea what the ratio is. I could probably look it up somewhere.

Biden has added over $7 trillion. Monetized or not, that's debt we owe.

$9 trillion of debt has been monetized,

$4.4 trillion government debt.

Federal Reserve Balance Sheet: Factors Affecting Reserve Balances - H.4.1 - August 08, 2024

The Federal Reserve Board of Governors in Washington DC.

www.federalreserve.gov

$4.4 trillion Treasuries, $2.3 trillion MBS.

 

[OKTexas]

You are being disingenuous. That tiny decline at the end of the chart is still higher than it was in the 2017-2020 period.

And here I thought we were talking about what's occurring under xiden. Lower home ownership = fewer defaults.

.

 

[g5000]

Biden has added over $7 trillion. Monetized or not, that's debt we owe.

$9 trillion of debt has been monetized,

$4.4 trillion government debt.

View attachment 994544

Federal Reserve Balance Sheet: Factors Affecting Reserve Balances - H.4.1 - August 08, 2024

The Federal Reserve Board of Governors in Washington DC.

www.federalreserve.gov

$4.4 trillion Treasuries, $2.3 trillion MBS.

Another $3.7 trillion in notes and bonds.

 

[g5000]

And here I thought we were talking about what's occurring under xiden. Lower home ownership = fewer defaults.

.

Except there isn't lower home ownership.

It's the highest since 2012.

 

[g5000]

Home ownership is at 65.6% right now. The highest since 2012.

Defaults on mortgages have been steadily declining during Biden's entire term

The charts and links have already been provided in this topic.

You really have to stop wishing for America to fail, folks. You sound really ugly.

 

[Marener]

No, Trump doesnt want inflation, but if Kamala wins youll have your fill of it.

Trump’s policies are very inflationary. That’s what protectionism and nativism does.

 

[Natural Citizen]

One of the key factors behind the recent inflation was that the Federal Reserve kept interest rates too low for too long.

In 2021, they hesitated at a crucial time, believing inflation was not a danger. They realized only after it was too late and inflation had taken off.

Fed will not raise rates on inflation fears alone, Powell says​

Federal Reserve Chair Jerome Powell on Tuesday reaffirmed the U.S. central bank's intent to encourage a "broad and inclusive" recovery of the job market, and not to raise interest rates too quickly based only on the fear of coming inflation.

"We will not raise interest rates pre-emptively because we fear the possible onset of inflation. We will wait for evidence of actual inflation or other imbalances," Powell said in a hearing before a U.S. House of Representatives panel.


Powell fucked up. Bigly.



Now let's roll back to 2019 during a period when Trump was failing to grow the economy his promised 4 to 6 percent, despite spending like a madman to artificially juice GDP.

His solution? NEGATIVE interest rates!

Trump Calls for Fed’s ‘Boneheads’ to Slash Interest Rates Below Zero​

​

The real bonehead in the picture was Donald Trump.

Trump railed that other countries were doing it, and so should we.

So how did that work out for those other countries?

They have worse inflation than we do.

This is exactly why we don't want populists anywhere near the monetary printing press.


Fast forward to today:

Donald Trump wants a 'say' in setting interest rates​

Former President Donald Trump said Thursday that he would like a "say" in setting interest rates if he is reelected, further raising the prospect that the Republican nominee could seek to reduce the independence of the Federal Reserve if he wins in November.

"I feel the president should have at least say in there, yeah, I feel that strongly," the presidential candidate said in response to a question about the US central bank interest rate policy and the prospects of a soft landing for the US economy.


Donald Trump is once again demonstrating his ignorance and stupidity.

Relevant reading...

Trump renews call for negative U.S. interest rates

Talk about economic lunacy. Gosh. It's just a matter of time when the bond bubble bursts as it is. There's around 17 trillion dollars worth. It's the biggest bubble in history. Lowering interest rates below the market level and then creating new credit is how bubbles are created. How do you sell...

www.usmessageboard.com

 

[Natural Citizen]

Trump’s policies are very inflationary. That’s what protectionism and nativism does.

Pretty much everyone's policy in DC is inflationary.

both Trump and the Kamala will continue operating under the same monetary infrastructure poicy which, by default, devalues the dollar and further erodes purchasing power.

 

[g5000]

Biden has added over $7 trillion. Monetized or not, that's debt we owe.

Yes, but on the subject of inflation, which is what this topic is about, that $7 trillion is not inflationary unless the Fed chooses to monetize it, which they haven't.

In fact, the Fed has been demonetizing since the pandemic.

 

[g5000]

Pretty much everyone's policy in DC is inflationary.

Which is why we do not want them anywhere near the money printing machine.

 

[Marener]

Pretty much everyone's policy in DC is inflationary.

Nah. More immigration is good for inflation.

 

[Toddsterpatriot]

Another $3.7 trillion in notes and bonds.

Nope.

$4.4 trillion total.

$195 billion in Bills
$3.7 trillion in Notes and Bonds
$344 billion in inflation indexed Notes and Bonds
$117 billion in inflation payments earned on the inflation indexed bonds

 

[Natural Citizen]

Which is why we do not want them anywhere near the money printing machine.

I think the money printing machine itself needs to be dismantled.

It's not money anyway. Money has ot be a store of value which maintains its purchasing power.

They're just inflating the currency supply and monetizing debt.

All of em...