How is Trump going to attempt to fix this market?
- Thread starter Cuddles
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The fed just increased interest rates, so that makes no sense. Also, this:
https://www.cnbc.com/2018/09/11/tru...lower-the-national-debt-woodward-reports.html
- "Just run the presses — print money," Trump said, according to Woodward, during a discussion on the national debt with Gary Cohn, former director of the White House National Economic Council.
What I said makes a ton of sense. If you flooded the market with currency when we were in recession and now you wish to avoid inflation. Take the money back out. Or you could more gently cease creating money as the economy expands.
The FED sometimes over shoots when they raise rates.
2. While I am not going to explain what Trump meant. What he said can make sense.
We could retire the debt by printing the money and paying off the debt and telling the FED we don't need them creating money and then lending it to us. We will just do it ourselves.
However, I would prefer we just cap the budget and eliminate the money creation for a few years while we grow into a balance.
The FED sometimes over shoots when they raise rates.
2. While I am not going to explain what Trump meant. What he said can make sense.
We could retire the debt by printing the money and paying off the debt and telling the FED we don't need them creating money and then lending it to us. We will just do it ourselves.
However, I would prefer we just cap the budget and eliminate the money creation for a few years while we grow into a balance.
Raising the interest rate IS ceasing the printing of money, so telling the fed to do something he's already doing makes no sense. Not to mention Trump wants to do the opposite (print more money and keep interest rates low).
His suicide would certainly help. But he is a narcissist, they don't do that... dang.
the market needs no fixing and when it does need it, Trump won't be the man to do it. All he is good at is to take credit from or blame it on the work done by others.
https://www.cnbc.com/2018/10/11/trump-doubles-down-on-fed-attacks-saying-its-going-loco.html
Trump doubles down on Fed attacks, saying it's 'going loco'
https://www.marketwatch.com/story/t...-dow-tumbles-830-points-in-one-day-2018-10-10
Trump says the Fed has ‘gone crazy’ after the Dow tumbles 830 points in one day
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It totally makes sense. The Fed created this in the beginning (under previous administrations with Bernanke and Yellen). What Powell is doing now needs to be done. But like a heroin addict, there will first be a fit of withdrawal and a lot of pain before it is deemed "healthy" again. But this doesn't have anything to do with Trump (apart from appointing Powell) and it had nothing to do with Obama either.
Still, I think Trump blames the Fed, and Obama.