Former Boston Fed President Rosengren: Markets overreacted to CPI
- Thread starter Nighthawk
- Start date
I have to find it but this morning on cnbc a guy was on and said if you strip out rental inflation the core cpi is at exactly 2%
So basically we are back to normal. Fed took inflation from 9% to 2% in about a year meanwhile other countries like Venezuela and Zimbabwe have nothing but consistent hyperinflation year after year. ...
The market didn't over react....the market is desperate for rate cuts. 6 cuts they want in 2024 and why? Only to keep wallstreet and stocks juiced up. There is absolutely zero reason to cut rates, not even 1/16th of a percent!!!!
Gdp is absolutely strong. Job market strong wages perfect housing market still seeing prices going parabolic. Consumers still spending like crazy. No need for rate cuts now or anytime soon!!
%%
WONDER if he had a saving account like we did as kids, local community bank?? LOL
Eggs downTrending nice, so i see his point .
Gasoline upticking FEB, so sorry/ but i include energy + food.
Actually he may right anyway, how so?? XLE is downticking all year[they may not admit to energy data, most likely look @ it anyWay, private LOL] So really XLE benchmark out weigh gasoline upticks
Traders[transatory time frameLOL]-short term investors tend to sell FEB + SEPT so anything can set off hair trigger LOL
NEW auto prices transitory+downtrending if you dont believe that\ buy one + drive it one day LOL
Ed Yardeni on this morning's Squawk Box. He's probably the most rational of the fund managers that comes on CNBC/Bloomberg.
I think it is unwise to assume shelter costs are going to come down. Maybe in states that have a lot of room to build that may be the case (Texas, Florida, etc.) but if you live in any large metro or a coastal city I don't believe shelter rates are going to come down anytime soon. Certainly not where I live in California (SF Bay Area).
Fed cutting rates = "INFLATION higher for longer".
I welcome the 6 rate cuts ....im desperately wishing and hoping they cut rates down huge so that inflation comes roaring back. I really want to see this happen. I want all the ones calling for rate cuts to get their rate cuts so that we can get inflation back to 4 5 6 7% then have to see rates go even higher ...I would absolutely cherish every moment of this...
What I love about inflation is this
Inflation rackets up to 9% prices of goods and services skyrocket....inflation comes back down from 9 to 3% prices of goods and services still at 9% inflation levels...
Inflation ran hot for less than a year, that was it, and prices skyrocketed...if only everyone stood their ground and waited patiently for inflation to come down before jumping at every second they had to raise the prices of everything at first notice of inflation!