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I am by no means an expert on this, but I am curious: 1. What makes you think Jerome Powell is raising rates to prop up short-term stock gains? Don't higher ra

I am by no means an expert on this, but I am curious: 1. What makes you think Jerome Powell is raising rates to prop up short-term stock gains? Don't higher rates typically decrease short-term stock gains? 2. Even if you disagree with his strategy, what makes you think he's doing something nefarious or illegal?

bobobob420 4y ago
1. Because that is what the federal reserve has been doing since covid…they learned they can prop up stock markets with QE. Look how much money the introduced in last 2 years. They did it at the expense the health of the economy. Now the economy is fucked inflation wise and it has to balance so now they have to do these quick fixes that will be painful to people who need to borrow money 2. I don’t really want to rant about it but I and many others believe what Jerome Powell does is only in the interest of their extremely rich banking friends Not sure why I got downvoted negative 3. The boomers on this board are so pathetic
- readthenotes1 4y ago
  Add to that: inflation was transitory last year and this year up until Powell secured his reconfirmation. Then it became a problem. Edit to add: I self-identify as a boomer because I have an old and selfish soul.
  - cykros 4y ago
    Last year, inflation was running at under 5%. There was no fuel crisis, and no food crisis, spurred on by the war in Ukraine. Covid was widely believed to be going away a bit quicker than has quite turned out to be the case. Should we have locked down the economy in 2020, which really is why massive monetary stimulus was needed? Perhaps not. But that wasn't the Fed's decision; they were reacting to the fact that it was done (by politicians). Should we have neglected to use this fresh money to prop up an infrastructure bill, to grow our way out of inflation? Probably not, but that boils down to Congress doing what it does best; failing to competently govern the nation (this isn't a partisan statement; compromise wasn't achieved either cross aisle or even intra-party). And should we be propping up the Ukrainian resistance amid the invasion? Well, that's complicated -- we probably shouldn't have backed the Orange Revolution or Maidan Revolution in the first place, but asking the US not to engage in regime change is like asking a baby not to fill its diapers. In any case, the actions taken there have led to the fuel, fertilizer, and food crises we're not facing. None of this was caused by the Fed. The Fed, however, is on the hook for attempting to navigate the currency through this $#!+storm they've been handed. Have they done it perfectly? No, I won't try to argue that. But have they done it adequately given what they have to work with? Personally, I'm inclined to say yes, but that's up to you. I'd just argue strongly that looking at things as if the Fed has been behind the chaos we're looking at now would be entirely unfair, and would be letting a lot of filthy politicians off the hook in the process.
- notavalleyman 4y ago
  The staff of the fed have degrees and doctorates in financial engineering and (for some) decades of experience in financial management. The Fed's governors are appointed by our voted representatives and are responsible to them. When they adjust the dials of the US economy, it's usually because sound financial theory says they should. What you have presented is simply a conspiracy theory. The boomers of HN aren't keeping you from explaining why you think any move by the Fed is designed to enrich it's chairman. The boomers aren't keeping you from developing a theory on why the interest rate move is to prop up equities. You just feel like you're very correct and if others don't agree it must be because they were born shortly after ww2, is that right?
  - bobobob420 4y ago
    LOL it is not about me feeling very correct and people who think I am wrong are boomers. You can literally tell the folds in your brain have dissapeared with age. I was complaining about me being downvoted by boomers when I am just providing my thoughts for discussion as everyone else is. I have noticed this type of behaviour whenever my comments include 'foul' language or have takes that go against the general consensus on a topic. Again, I guess I have to apologize for being myself. As to what the true intention of the federal reserve is..you think it is all economic theory and statistics that is controlling the biggest power decisions made with incredible wealth implications? Decisions that result in billions of dollars in profit on stock market trading. That is the reason for us having >5 percent inflation for 6 months.
    - notavalleyman 4y ago
      > all economic theory and statistics that is controlling the biggest power decisions made with incredible wealth implications Yes, I think so. For many reasons. 1. People tend to have pride in their work and can typically be relied on to follow their job description. 2. Someone would blow the whistle if the Fed was self-dealing. 3. A politician or auditor would have made plenty of hay if the Fed was self-dealing. 4. Running a central bank is incredibly difficult. Doing it while self-dealing, I imagine, is impossible. For evidence - Elvira Nabiulina is the central banker for one of history's worst Kleptocracy. Not only is she regarded as a clean-hands technocrat, she's also not really allowed to quit her job. 5. I need more evidence for a conspiracy theory than "imagine the numbers they deal with". > That is the reason for us having >5 percent inflation for 6 months You are saying that the Powell conspiracy is the cause of high inflation? And not all the other reasons?

bobobob420 4y ago

1. Because that is what the federal reserve has been doing since covid…they learned they can prop up stock markets with QE. Look how much money the introduced in last 2 years. They did it at the expense the health of the economy. Now the economy is fucked inflation wise and it has to balance so now they have to do these quick fixes that will be painful to people who need to borrow money 2. I don’t really want to rant about it but I and many others believe what Jerome Powell does is only in the interest of their extremely rich banking friends Not sure why I got downvoted negative 3. The boomers on this board are so pathetic

readthenotes1 4y ago
Add to that: inflation was transitory last year and this year up until Powell secured his reconfirmation. Then it became a problem. Edit to add: I self-identify as a boomer because I have an old and selfish soul.
- cykros 4y ago
  Last year, inflation was running at under 5%. There was no fuel crisis, and no food crisis, spurred on by the war in Ukraine. Covid was widely believed to be going away a bit quicker than has quite turned out to be the case. Should we have locked down the economy in 2020, which really is why massive monetary stimulus was needed? Perhaps not. But that wasn't the Fed's decision; they were reacting to the fact that it was done (by politicians). Should we have neglected to use this fresh money to prop up an infrastructure bill, to grow our way out of inflation? Probably not, but that boils down to Congress doing what it does best; failing to competently govern the nation (this isn't a partisan statement; compromise wasn't achieved either cross aisle or even intra-party). And should we be propping up the Ukrainian resistance amid the invasion? Well, that's complicated -- we probably shouldn't have backed the Orange Revolution or Maidan Revolution in the first place, but asking the US not to engage in regime change is like asking a baby not to fill its diapers. In any case, the actions taken there have led to the fuel, fertilizer, and food crises we're not facing. None of this was caused by the Fed. The Fed, however, is on the hook for attempting to navigate the currency through this $#!+storm they've been handed. Have they done it perfectly? No, I won't try to argue that. But have they done it adequately given what they have to work with? Personally, I'm inclined to say yes, but that's up to you. I'd just argue strongly that looking at things as if the Fed has been behind the chaos we're looking at now would be entirely unfair, and would be letting a lot of filthy politicians off the hook in the process.
notavalleyman 4y ago
The staff of the fed have degrees and doctorates in financial engineering and (for some) decades of experience in financial management. The Fed's governors are appointed by our voted representatives and are responsible to them. When they adjust the dials of the US economy, it's usually because sound financial theory says they should. What you have presented is simply a conspiracy theory. The boomers of HN aren't keeping you from explaining why you think any move by the Fed is designed to enrich it's chairman. The boomers aren't keeping you from developing a theory on why the interest rate move is to prop up equities. You just feel like you're very correct and if others don't agree it must be because they were born shortly after ww2, is that right?
- bobobob420 4y ago
  LOL it is not about me feeling very correct and people who think I am wrong are boomers. You can literally tell the folds in your brain have dissapeared with age. I was complaining about me being downvoted by boomers when I am just providing my thoughts for discussion as everyone else is. I have noticed this type of behaviour whenever my comments include 'foul' language or have takes that go against the general consensus on a topic. Again, I guess I have to apologize for being myself. As to what the true intention of the federal reserve is..you think it is all economic theory and statistics that is controlling the biggest power decisions made with incredible wealth implications? Decisions that result in billions of dollars in profit on stock market trading. That is the reason for us having >5 percent inflation for 6 months.
  - notavalleyman 4y ago
    > all economic theory and statistics that is controlling the biggest power decisions made with incredible wealth implications Yes, I think so. For many reasons. 1. People tend to have pride in their work and can typically be relied on to follow their job description. 2. Someone would blow the whistle if the Fed was self-dealing. 3. A politician or auditor would have made plenty of hay if the Fed was self-dealing. 4. Running a central bank is incredibly difficult. Doing it while self-dealing, I imagine, is impossible. For evidence - Elvira Nabiulina is the central banker for one of history's worst Kleptocracy. Not only is she regarded as a clean-hands technocrat, she's also not really allowed to quit her job. 5. I need more evidence for a conspiracy theory than "imagine the numbers they deal with". > That is the reason for us having >5 percent inflation for 6 months You are saying that the Powell conspiracy is the cause of high inflation? And not all the other reasons?