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Fed's Kohn on Crack. See's Inflation Moderating
- Thread starter Ivanovich
- Start date
Quote from Aaron Copland:
That will never happen, they did not let the cycle take effect. Had they let the market take care of this we would have had a recession like we need to correct commodity prices.
And you know this because???
You seem to make a rather naive assumption that does not take into consideration the GLOBILIZATION of COMMODITY PRICES.
Our FED and its monetary policy has very little to do with the energy, basic material, and commodity consumption of CHINA and a whole host of other high growth countries.
You and "S2007S" seem to conveniently ignore this in your posts.
Quote from canuckrookie:
Then we agree, but we can only beat this dead horse for so long. The FED is either wrong on inflation or knowingly complicit. They will do what they want to do and years from now we will be reading in textbooks how the FED helped steer the US economy into financial catastrophe. End of story, no happy ending.
Yep. But whether it's beating a dead horse or not, I still find myself laughing every time one of the Fed Fools says "Inflation is under control", especially the day when a particular inflation statistic is released showing the exact opposite.
Quote from Landis82:
Our FED and its monetary policy has very little to do with the energy, basic material, and commodity consumption of CHINA and a whole host of other high growth countries.
Perhaps not, but maybe you can explain how oil took off like a friggen rocket right when the Fed cut 50bps last August and hasn't looked back since?
fuck me. I've been bullish on EUR/USD but tried shorting from ~1.49 resistance expecting it to come back to ~1.46 before breaking through 1.50 but the Fed just doesn't give a shit about inflation. I really think the Fed is complicit. I mean we get emergency cuts when equities tank, but they are completely ignoring commodities. Like I've said before, we are going to need a Volcker style crank up in rates at some point. ughhQuote from canuckrookie:
Then we agree, but we can only beat this dead horse for so long. The FED is either wrong on inflation or knowingly complicit. They will do what they want to do and years from now we will be reading in textbooks how the FED helped steer the US economy into financial catastrophe. End of story, no happy ending.
Quote from Landis82:
And you know this because???
You seem to make a rather naive assumption that does not take into consideration the GLOBILIZATION of COMMODITY PRICES.
Our FED and its monetary policy has very little to do with the energy, basic material, and commodity consumption of CHINA and a whole host of other high growth countries.
You and "S2007S" seem to conveniently ignore this in your posts.
All the more reason for a much needed recession. You can not grow non stop around the world and expect inflation to remain low.
What we need is a global recession to correct commodities. They appear to no longer be transitory. This is serious stuff.
What's the alternative though? Should the Fed run its policy according to how volatile energy and grain commodities trade? Hike 50 bps when oil is up $15 and cut 50 bps when oil is down $20?Quote from Ivanovich:
Perhaps not, but maybe you can explain how oil took off like a friggen rocket right when the Fed cut 50bps last August and hasn't looked back since?
Doesn't make much sense to me.
What the Fuc$ is going on look at wheat up 8.11% today. My gosh folks this is insane. Oil $101.10 how can everyone not be concerned.
Everytime some fed fag talks about inflation being anchored commodity prices make another all time high.
Everytime some fed fag talks about inflation being anchored commodity prices make another all time high.
Quote from makloda:
What's the alternative though? Should the Fed run its policy according to how volatile energy and grain commodities trade? Hike 50 bps when oil is up $15 and cut 50 bps when oil is down $20?
Doesn't make much sense to me.
The fed should do what they say their there to do and thats to create price stability, they get an F in my book.
Reg. the discussion of core vs. headline inflation as a basis for Fed policy:
http://www.reuters.com/article/ousiv/idUSN2524414220080226
"Federal Reserve Governor Frederic Mishkin on Monday defended the central bankâs emphasis on core inflation, saying an emphasis on less volatile prices produces a stronger economy in the long run"
http://www.reuters.com/article/ousiv/idUSN2524414220080226
"Federal Reserve Governor Frederic Mishkin on Monday defended the central bankâs emphasis on core inflation, saying an emphasis on less volatile prices produces a stronger economy in the long run"