/biz/ - Business & Finance

>>58088330
FED, a non-government non-elected entity, makes monetary policies that affect both the economy and stock market.
Interest rates are used to determine amount of money you pay to loan providers, ie. You buy a car with a loan provided by a bank, you pay the bank an interest rate (essentially a fee) in return for the money and service that was given to you.
It affects the economy because if interest rates go up, less people are willing to take out loans to buy cars, houses or start-up businesses because it becomes too expensive.
The FEDs raise rates because they're trying to slow spending (how rapidly money is circulating through the economy) because they want to artificially create deflation on our currency, reason being is inflation is currently too high (the value and purchasing power of the dollar is lowered with high inflation)

>>57616786
I still love how we randomly get glowies who show up just to argue that inflation isn't caused by fed policy. Just a sheer coincidence that as soon as they started raising rates it began to fall

I think the current playbook is that it's no longer about high wages but "corporate greed"

>>57591526
>we're moved on to "greed flation" cope
add it to the list boys!

>>57485349
Its schneiders cat. A good job report is terrible good news because it means inflation is going to be hot except inflation is cooling because the actual cause of inflation was the weimar levels of money printing during the pandemic so its actually a non issue if the report comes in strong.

But the news media and fed have to keep freaking out over it because they can't let the masses realize inflation isn't anyone's fault but the central bank

>>56438951
You're wasting your time. This dude is literally paid to talk you in circles. Ask him point blank of federal reserve policy, like negative interest rates, can cause inflation. He's one of those "inflation is the supply chain, not the fed's fault" glowies

>>56159292
I mean thats what he's doing by pausing rates while inflation is increasing again. The whole reason we got here with inflation being this bad is because Powell waited a fucking year coping for biden
>>56159298
They don't want a shutdown, they want to change the budget going forward. The shutdown is caused by the democrats going "lol no, free gibs is how we get elected" and a deadlock. Republicans have to deadlock it if they think it'll politically work for them

and neither side understands nor cares how it effects the economy and debt

>>55750249
the fed is full of retards

>>55360609
>>companies keep hiking prices
I still need to add that to the cope list

>>55060366
>>55060342
reminder that these retards know exactly what causes and removes inflation and they are just trying to constantly memory hole it with random bullshit

>>55008855
we increased the money supply by 25% in two years and then the fed spent an entire year refusing to raise rates on Biden and kept making excuses

>>54916717
Anyone who knows history should have known that the fed will always try and cope that THIS TIME it's different and free cheap money won't fuck everything

>>54850773
>greedy corporations jacking up prices
sup glowie faggot, should I add that to the list?
>"It's transitory!"
>"It's the supply chain!"
>"It's high wages!"
>"It's putin!"
>"It's corporate greed!"
go oy vey somewhere else fed boy