https://twitter.com/DeItaone/status/2098389192493408626
Oh great, now we will embargo half the world (or more) with Smoot-Hawley II; The Executive Order.
@big-ryan in response to your “ trump fucked everything up.” No Biden fckd everything up. 9.1 percent inflation in 2022. Highest in 40 years. Houses spiked in part bc of draconian covid virtue signaling from Dems. Gas. Etc. Dems fckd everything up. Trump has done little to fix it and/or made things worse.
https://twitter.com/DeItaone/status/2098389192493408626
I doubt raising rates will do much in slowing inflation, unless they crash the market. Inflation isn't being driven by the banks like it was in the 70s? And if they put the economy into recession deficit spending will blow out even more at higher rates.
The market is up big today so clearly investors aren't seeing a big rate hike.
It's one day, but it's pretty easy to make a bull case. Earnings are up around 30% YoY compared to long term averages of 10%. Inflation is sticky and elevated, but it seems to be anchored around 3% (core 2.5). Two big drivers of it are energy and cap ex. Energy will eventually subside and AI should be deflationary and great for margins. At some point the investments turn to productivity gains and company and consumers benefit.The market is up big today so clearly investors aren't seeing a big rate hike.
GDP growth for Q3 is looking like it will be closer to 3 than 2. Two major headwinds were higher rates and oil going to 150-200. Well we have higher rates and oil (not as high as they predicted) and the economy is still humming around. If none of that convinces you where else are you going to put money? I agree everything is pricey and we're long overdue for a major correction, but it's difficult to fade that set up. Perhaps we all don't die and we do have another industrialized revolution.
@twenty yes and no. I do business across various industries. Unsuccessfully but whatever. People are loaded. Rolling in dough. My friends just got back from Europe. Other batch going next week. Joining country clubs. Buying houses in the towns they send their kids to college. Another group just landed in aspen.
the poor are fckd! Big time K economy anecdotally. Why socialism is resonating. Class warfare.
our crew is literally Johnny fat cocking each other every week. I’m jimmy thumb dick but the point remains
I have 4 different buddies that work in tech/AI related fields. It's insane what their doing and how well their doing. One is being courted for a new gig down south and it's ridiculous what they're offering and what he is telling them it will take.
https://twitter.com/toneroushyus/status/2100257960773452141?s=46
You better hope there isn't a 4 handle on it when this drops in October. I won't sh#t up for several days @twenty
https://twitter.com/reuters/status/2100019389546324172?s=46
@bar-down Trump loves the peasants. Say it out loud "A+".
True... except exactly the opposite.They only lower when a Dem is President.
https://www.forbes.com/advisor/investing/fed-funds-rate-history-1/
They only lower when a Dem is President.
https://twitter.com/zerohedge/status/2100290026865152047?s=46
The Fed never has been independent and they tried to help out Harris and the Democrats. Powell sucked. Also, the 10 year when they cut back in 2024 was around 3.7% and is around 5%. Well done Jerome. The FED should be abolished.
"Inflation remains elevated," said the Fed Open Market committee. "Today’s policy action will support a timelier return to the Committee’s 2 percent goal. The Committee will deliver price stability.”
A single quarter-point increase isn't going to have much of an impact. If this, though, signals the beginning of a series of rate increases (and there are signs that that's the case), then consumers will feel a much heavier debt burden.
Gas is now averaging over $6/gallon in one state, over $5/gallon in five states, and over $4/gallon almost everywhere else.
The soaring prices are almost entirely a function of Trump's war in the Middle East, his trade wars and his sweeping tariffs.