The Fed's recent dovish statements make me more nervous than hawkish

[kmiklas]

The great recession was about 10 years ago. Now is the time when the economy should be recovering and briskly moving forward and upward. The Fed should _need_ to raise rates now, to slow things down, and prevent inflation.

Most concerning is Apple's recent plunge, which dragged down much of the tech sector, and ultimately the S&P.

Mayne we need a new "thing" to drove growth, but I don't see it. Dot com, housing, now the iPhone "Bubble" bursts... but no new "thing."

Some have argued that the "recovery" from the Great Recession was just a farce, fueled largely by stock buybacks, QE, and other accounting tricks. I'm almost starting to believe it.

Scarier still is inflation. I see it edging up, but the fundamental economic weakness prevents the Fed from slowing it with an interest rate hike.

In sum, I've been feeling that the economy really isn't as strong as they've stated, and the Fed backing down on an interest rate hike confirms this.

 

[volpri]

The great recession was about 10 years ago. Now is the time when the economy should be recovering and briskly moving forward and upward. The Fed should _need_ to raise rates now, to slow things down, and prevent inflation.

Most concerning is Apple's recent plunge, which dragged down much of the tech sector, and ultimately the S&P.

Mayne we need a new "thing" to drove growth, but I don't see it. Dot com, housing, now the iPhone "Bubble" bursts... but no new "thing."

Some have argued that the "recovery" from the Great Recession was just a farce, fueled largely by stock buybacks, QE, and other accounting tricks. I'm almost starting to believe it.

Scarier still is inflation. I see it edging up, but the fundamental economic weakness prevents the Fed from slowing it with an interest rate hike.

In sum, I've been feeling that the economy really isn't as strong as they've stated, and the Fed backing down on an interest rate hike confirms this.

Oh for crying out loud...raising rates IS THE LAST THING WE NEED. Abolishing the Fed would be a much better route...ROFL

 

[maxinger]

Honestly speaking , it doesn't matter whether statements are dovish, hawkish, ghastly , friendly or whatever.

As long as Fed make statement, we will be happy as it will move the market up or down.

 

[zdreg]

As long as Fed make statement, we will be happy as it will move the market up or down.

The above is just one more example of the Fed being a creator of instability in the economy. ever since its inception the Fed like nearly every central bank is an engine of inflation. trying to end the business cycle inevitably leads to bigger booms and bigger busts becauses the excesses in the economy are not naturally eliminated. the central bank responds to political pressure to keep the boom going. eventually, sometimes with great delay,market forces win out and you end up with a greater collapse if the Fed had not interfered in the first place.

as the previous poster said traders are happy when the Fed creates volatility, which increases trading opportunities