Why won't USA cut rates?

>>60527437 (OP)
because trumpy wumpy!!! >:(

>>60527437 (OP)
Because Jerome doesn't want to repeat the mistakes of the 70's. When inflation is a problem you have to keep rates high until it isn't.

>>60527437 (OP)
JPow essentially took a massive shit in the country's diaper during COVID and rates have to stay high until that diaper is hand cleaned inside and out. It'll be a min

>>60527456
Should honestly be at 20% then. Jerome is pussy footing around propping up the fake and gay economy

>>60527437 (OP)
That's a bad thing

>>60527437 (OP)
because Jewome Jewell is a jew. it's in his interest to destroy the country.

Lets compare the amount of debt

>>60527541
Should’ve been 20% in 2022, but they never intended to fix inflation. They only wanted to create enough leverage to come in and save they day with magical rate cuts

>>60527437 (OP)
TDS

>>60527541
It really should. That's what Paul Volcker had to do in the 80's to fix inflation. Powell basically needs to tell the government and Americans to stop fucking borrowing money and sort their shit out so that the economy can find a stable footing again. There is no fixing this situation if everyone and everything is levered up with cheap debt.

>>60527667
>Stop borrowing money
No. You just want more for yourself.

>>60527667
man what kind of magical land do you live in where any of these people care about stability? it's like trying to reason with an addict why doing 4 pounds of cocaine a week might lead to his demise.

>>60527437 (OP)
Because nothing crashed when they raised the rates

BTC is 105k, SPX is 6000, housing is making new ATHs

There is zero reason to cut rates

>>60527667
How about asking Congress to stop throwing trillions away too with these unnecessary pork ridden omnibus bills? Oh wait you have to eliminate the lobbyist problem in DC, which will honestly never be fixed.

>>60527445
I think so too..

>>60527437 (OP)
>Why won't USA cut rates?

IF a NON-USA person has money where are you putting it?
USA banks for that high interest rate.
You NEED money to make money and USA is LOADED!
When the Fed starts to slowly cut rates the economy will grow strongly at a steady pace.
USA future is looking AWESOME!

>>60527437 (OP)
I'm not ready to buy a house yet. They'll drop when I'm ready to slurp

>>60527754
>cutting the barest minimum of wasteful spending
Have you not heard the REEEEEEE at attempting to even *identify* waste in a few departments of government this year? We're so far gone the guillotines need to unironically come out

US already frontloaded their stimulus. While Europe and the rest of the world was practicing austerity, the US couldn't stop pumping their economy.

Experimental economic warfare, i call it the rate bomb. The more the derivative currencies cut, the bigger their inflation will be when the reserve currency cuts to triggers the spike

This was meant for China but unfortunately the eu is retarded

In the 90's whenever Clinton wanted to rates to go down they did immediately. I really thought the President was in control of interest rates.

>>60528030
He is, the powell/trump fight is theatre

>>60528030
That only works if the President is actually willing to take action to lower rates by cutting the deficit, or in Clinton's case, run a surplus.

>>60528039
Clinton didn't have the healthcare abomination. Not knocking him, it was good that he balanced it, but it's a different beast today

>>60527541
this
either cut it to zero or go to 20%
this middle of the road 6.85% shit is retarded

>>60527754
No need to ask if you force them to balance the budget by making debt impossibly expensive

>>60528068
this

>>60527437 (OP)
Inflation.

>>60528068
>No need to ask if you force them to balance the budget by making debt impossibly expensive

Who is then is going to pay for the Boomers retirement?
Boomers vote and politicians fear angering them.
The only solution is to cut back on minority welfare (remove the illegal immigrants) and any DEI initiatives.
Basically everything but military and Boomer retirement services needs to be greatly pruned back!

>>60528052
I'm not making a judgment on Clinton, positive or negative. You could argue that he benefitted from the dotcom bubble anyways. Trump could've lowered rates by passing a bill that cut government spending without also cutting taxes.

>>60528090
That isn't enough, the elephant in the room is social security and Obama care

Personally I'd cut obamacare but it is a moral quagmire as you will have a bunch of deaths people will try to link to the decision

>>60527437 (OP)
>why
because of 10-yr treasury

>>60528110
>it is a moral quagmire

Christian capitalist... if you lived a good life you will be rich.
Cut Obama care because if they needed it they must have not lived a good life.

>>60527667
>government and Americans to stop fucking borrowing money
never will happen in a million years. we're in a business making money through debt.

>>60528129
Their needs are not the deciding factor

Social security is paid into, so I would feel wrong taking something from someone who contributed their whole life

Obama care is welfare that is too expensive, plain and simple

Rates must be kept high as bond interest is currently driving monetary expansion, continued monetary expansion is all they care about as liquid assets will always inflate faster and more fully than the illiquid asset Labor, this is the mechanism behind oligarchal parasitism.

1980s-GFC monetary expansion was driven by falling rates, effectively a systemic credit kite.
GFC-2019 monetary expansion was driven by QE, Fed however was legally limited to the size of their balance sheet, and when they tried to run it down a wee little bit (as they were approaching their balance sheet limit) the repo market blew-up: Enter Scamdemic.
Corona was used to paper over the Sep ‘19 repo blow-up, remove what little restrictions the Fed had, and to intentionally drive up consumer prices (which is not inflation, inflation is expansion of money stock) to provide justification for long-term high rates.

During the game Systemic Credit Kite yields were jacked-up when unemployment fall “too low” i.e. wagies started demanding their fair share. Jacking rates stressed the credit kite, leading to business failures and forcing the wagie back in the cagie.

But we are no longer playing Systemic Credit Kite, bond yields stress nothing, bonds are always negative real yield, so don’t compete with equities et al for dollars.

>>60527667
Volcker “fixed” inflation by cooking the books hardcore, “Owner Equivalent Rent” (i.e. poll boomers asking them to guess how much it would cost to rent their house) and Hedonic Adjustments (Oh the iPhone 27 is 100x the price of the iPhone 1? Well, it’s 1000000x as powerful so awecutaully the price has deflated by 99.999%!) hail from his tenure.

>>60527437 (OP)
>3 charts, same topic for each
>3 different x axis scales
>3 different y axis scales

>>60527437 (OP)

They're fine where they're at.

>>60527437 (OP)
Why did china stay 4.3, Europe 4.6 and america 5.5?

Why do americans love high interest?

>>60528228
Insignificant compared to the 20%. For what purpose are you being retarded?

>>60528286
Delusional. FFR were >15% for all of six months, the methodological changes to CPI were 100.1% responsible for “lowering” “inflation” and enabling the protracted elevated monetary expansion of the 80s

>>60527437 (OP)
Because they doubled the money supply in 2020-21 and need to deflate for a while so the dollar can actually buy something. It’s either raise wages and have wagies pay more taxes as they enter higher brackets or deflate and bring buying power back into the dollar.

>>60528472
6 months of functionally no credit is the factor responsible for taming inflation. The changes to cpi weren't good but also weren't relevant until much later

>>60528490
Higher taxation doesnt not affect inflation because it doesn't affect the money supply

>>60528490
So did every other country. They lowered rates since and they haven't hyperinflated. US is going to end up having to print anyway because interest on the debt is even higher now.

>>60527558
Is he was a Jew he would have already done what Trump wants and loot the country via inflation

>>60527541
>>60527667
It would be so fucking based if he raised interest rates to 8-10% for even one month before he leaves.

>>60527746
>There is zero reason to cut rates
the president says, the fed obeys
even if powell tries to save face, he gets sacked on March for a giga dove

>>60528193
why do you use a retardedly outdated picture, though?

>>60528490
>deflate
Where would that be happening?
>CPI? ath
>M2? ath
>Case Shiller? ath

>>60528691
401ks, real estate and public default

>>60528691
>401ks
SPX near ATH
>real estate
again: Case Shiller near ATH
>public default
wat?

>>60527445
>Guy was appointed by trump
>Helped clean up the mess trump made from COVID
>Now suddenly it's personal
???? Do you realize how stupid you sound? It's very simple. The economy is doing well, but there's too much economic uncertainty to anticipate which direction it will go in.

>>60528691
every idiot and his grandmother expects hyper inflation
thats why i expect massive deflation

>>60528504
higher taxes absolutely reduces inflation, obviously

>>60527437 (OP)
Because the economy is fake. Banks are literally required to hold zero percent in reserves. I also think this guy has a massive raging hate boner for drump

>>60528770
>every idiot and his grandmother expects hyper inflation
they also expect le yet another leg higher in muh markets

>>60528232
But they look the same. Hedonic Equivalent.

>>60527437 (OP)
Canadian interest rate is also very high still

>>60527487
Every western country in the world did the same during Covid, it wasn’t just America

>>60527437 (OP)
fiat is just one big rug pull.

>>60528504
It literally does people have less money to spend so the economy gets smaller

>>60529180
Yea but it's like the boiling frog where you slowly turn up the temperature. Except for recently it's meant to incentive people to put money back into the economy rather than just holding it all

>>60527437 (OP)
Yet despite this the us dollar still weakened

>>60528779
>>60529286
The taxes are reinjected into the economy my retards. You give the government 1k, then they pay some guy to build a road. The money supply is still the same ergo, no inflation

>>60527558
Literally a 9th generation White American

>>60529785
You really are retarded if you think most of what the government does with you is justified and not just corruption. Enjoy knowing all your money is being spent to give Israel more bombs

>>60530218
I made no judgement of the quality of the spending merely that the taxes does not extract money from the system ergo no affect to the inflation of the money supply

>>60530251
>I made no judgement of the quality
Yea for real that shit is lame asf who cares. It makes me so happy knowing the government is taking my money to buy niggers with no jobs ebt cards and food stamps. For real 37 trillion is nothing we can make that can back in a day if we really tried

>>60528472
>>60528228
unfortunately you're talking to a wall, there's always a couple retards on this board that lionize volcker while pretending the plaza accord didn't happen a few years later directly because of his retardation. he was one of the dumbest people to sit in the fed chair
>>60527437 (OP)
because chief faggot decided to unilaterally impose massive price increases on everything you buy. why is the admin so economically illiterate to think that rate cuts can happen in a high tariff environment? oh right, this is the fucking moron who thinks foreigners pay tariffs, not domestic consumers.

>>60527437 (OP)

>>60530375
Kys shill

>>60527437 (OP)
That looks like China and Europe are about to bubble themselves into a catastrophic crash in a few years.

>>60527445
Yeah, exactly. He's so fucking petty

>>60527445
>>60527437 (OP)
Because of this old dementia fart who believes he can mess with Trump.

>>60528684
Because he is an incoherent retard and recent data shitter shatters him

>>60527437 (OP)
>>60527445
he's still assmad about kamala losing basically

>WAHHH WHY ISN'T HE SPIKING INFLANATION SO MY SHITCOIN CAN INCREASE BY 3%
Kys. Should have learned how do long term options trading and gotten therapy for your ADHD problem, maybe then you wouldn't be poor AND a schizo.

>>60530772
You don't know how economy works, pal. High rate keeps the money out of market, slowing down the inflation, but at the same time money mass is increasing because of that rate, and business activity is stagnating which doesn't allow to produce enough goods in order to claim that locked money. We're in the worst possible scenario thanks to Powell's insecurity. He could've lowered that damn rate 2 years ago and avoid all of that.

>>60527437 (OP)
Do you guys even want the to? It won't pump your bags.

>>60529174
Orthogonal statement to what I'm discussing

>>60527437 (OP)
because i need to buy more real estate before it pops off and become unattainable for zoomies. then i can refinance for a 3% rate