Search Results for: fed

The Covid-19 pandemic and subsequent global lockdown caused massive supply chain disruptions, including in the procurement of semiconductors used in everything from automobiles to appliances. But a $53 billion spending push from the federal government is fueling a massive recovery to this sector now, allowing us to “flip the chart” on one of its biggest […]

Most people, including Wall Street investors, don’t realize that we don’t have free markets. We operate under a command economy, not unlike manifestly socialist or Communist countries, or dare I say, banana republics. Who is at the helm of the command center? The Federal Reserve System, America’s private central bank. That’s right, the Fed’s a […]

Imagine for a moment how you’d trade, or make big buying and selling investment decisions, if you knew what the Fed’s FOMC rate moves were going to be before they actually announced them. If you’d known in June of last year that the Fed was going to push rates 75 basis points higher rather than […]

We got a nasty sell-off last week after Jay Powell’s “higher for longer” speech. This chart shows us just how high interest rates could climb.

It was no surprise that the Federal Reserve’s FOMC (Federal Open Market Committee) raised the benchmark fed funds rate by 50 basis points yesterday. (In case you didn’t know, Fed funds are overnight loans big banks make to each other. A “basis point” is one one-hundredth of a percentage point, so 50 basis points is […]

The almost 6% rally U.S. stock markets enjoyed Monday and Tuesday this week was based on the belief that the Fed would soon have to “pivot,” stop raising rates and start lowering them. Pivot talk worked its magic on stocks this time because investors believed the Fed could not ignore scary cracks in global bond […]

Barring some kind of existential crash that knocks 50% off equities in a matter of days or weeks, the Federal Reserve’s not coming to rescue the bear market from itself. So, we’ve got lower to go. The reason why centers around a phenomenon called the “wealth effect,” and the Fed knowing that what worked on […]

While Wall Street, investors, the media, and the public are hyper-focused on the Federal Reserve’s rate hiking policy path, the same trap door markets fell through in 2018 is about to open wide, and nobody’s talking about it. The trap door is the Fed’s quantitative tightening (QT) plan, the opposite of its bull market friendly […]

The latest figures from the Bureau of Economic Analysis are due out tomorrow… and all signs point to a recession. Yet the dopes in charge will deny, deny, deny.

The Fed still can’t admit a recession is imminent. Will it keep hiking interest rates?