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It's interesting that this article doesn't have the rate... (It moved from 3.5% - 3.75% to 3.75% - 4%, the US uses a range, not a fixed number.) But this one
by marcosdumay 16d ago
It's interesting that this article doesn't have the rate...
(It moved from 3.5% - 3.75% to 3.75% - 4%, the US uses a range, not a fixed number.)
But this one is something that gets results almost immediately. We will see what it does in 2 or 3 months, not years.
- karp773 16d agoWhat results? Overnight interbank loan rates, yes, immediately. The effect of those rates on the economy? It will take time to propagate. Heck, some important committees only meet like twice a year.
- marcosdumay 16d ago> What results? Inflation numbers, companies firing, and the magnitude of fictional numbers on financial markets. Lots and lots of things are slower to react, but those 3 are quite big and hard to ignore.
- carefree-bob 16d agoLayoffs are abnormally low right now, well below the rate a decade before 2020. Here is data: https://fred.stlouisfed.org/series/JTSLDR https://fred.stlouisfed.org/series/JTSLDR Inflation is a bit higher, but not shockingly so, here is the data: https://fred.stlouisfed.org/series/CPIAUCSL# https://fred.stlouisfed.org/series/CPIAUCSL# In terms of "fictional numbers on wall street", I don't see any real data there, but if you have access to something then please share.
- Animats 15d agoThe current official US inflation rate is 3.4%. So the real interest rate is under 1%.
- marcosdumay 15d agoThe most relevant comparison is the short term treasure rates, that is currently at 4% for 3 months. What means that the US is still paying banks to take loans. They just fixed it so it pays very, very little.