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They are always caught off guard. Try predicting anything macro and see how well it goes to plan. Then try not moving too fast or too slow. The idea that they
by danielmarkbruce 4y ago
They are always caught off guard. Try predicting anything macro and see how well it goes to plan. Then try not moving too fast or too slow.
The idea that they aren't doing a good job because they aren't perfectly precise with their timing is misguided. It's a crazy hard job.
- yterdy 4y agoThe difficulty is somewhat artificial. Their statements give away the game, namely their obsession with a "soft landing." Translation: an undue focus on securities markets and saving entities who'd made bad investments, i.e., picking winners. They were late because they were trying to balance a factor that isn't part of their quasi-mandate (but that is important to politicians, and to the institutions that Fed officers revolving doored from). Without that factor, you see radical hikes in 2021 and QT not being undermined by waves hands vaguely. It hurts, but less than what's coming now.
- danielmarkbruce 4y agoThe only entities they seem to worry about is banks. And banks going under is bad news for everyone, always has been. Being a lender of last resort to banks is explicitly part of their mandate.
- pishpash 4y agoThey worry about banks because they are a bank. If it weren't for government oversight they'd be a private bank.
- yterdy 4y ago>The only entities they seem to worry about is banks. You'll have to support thay with something. Again, the language of their correspondence over the past few years says otherwise.