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/biz/ - Business & Finance


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11517687 No.11517687 [Reply] [Original]

Why doesn't the Fed just lower rates back to where they were? It seemed to be effective.

>> No.11517710

It's not just about lowering rates, the fed and other central banks are also currently reducing their holdings of all sorts of equities and financial instruments. do the math.

>> No.11517711

Effective at accumulating debt

>> No.11517727

because America is too strong for low rates

>> No.11517736

They want the volatility so they can get 400% gains again.

>> No.11517742

>>11517687
Because if you don’t, that’s how you get Venezuela and Zimbabwe

>> No.11517745

>>11517687

Hyperinflation

>> No.11517752
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11517752

>>11517687
You saw this coming right Anon... You adjusted your investments months ago right?

>> No.11517761

>>11517687
They had to stop the bubble from growing.

>> No.11517817
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11517817

>>11517745
Yeah but now we're going into a great depression

>> No.11517925

>>11517752
I adjust every month yes. Only 30% stocks right now, about 40% cash/cash equivalents. Rest is in bonds.

>> No.11517964

>>11517925
30% of 1k is only $300, ranjeet

>> No.11518105

>>11517964
solid projection

>> No.11518257

>>11517687
Because pension funds will go broke if interest rates stay too low for too long.

>> No.11518294
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11518294

>>11517687
Can't let that middle class get too big again. They need more slaves for the factories.

>> No.11518302

>>11517817
We we're due for a depression on 08 but the fed cut interest rates. They just kicked the cat down the road.

>> No.11518375
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11518375

>>11518302

>Kicked the cat

>> No.11518434
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11518434

>>11517687
You're a fucking retard. Stop shilling Boomer propaganda.

>> No.11518471
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11518471

>>11517687
riddle me this

what happens when the next great recession hits, and the fed can't do shit about it because rates are already near zero? Do you imagine that ends well? If anything they didn't raise rates back up fast enough, and now that shit is hitting the fan again the fed will have little ability to salvage the economy via monetary policy

>> No.11518480 [DELETED] 

>>11518471
correct. they are out of ammunition for the coming week.

>> No.11518494

>>11517687
debt

>> No.11518508

>>11518471
maybe recession dosen't hit when you're not dealing with usury

>> No.11518563

holy shit what a nice pepe

>> No.11519556

Because the fed isnt really in control and the ride never ends

>> No.11519629

>>11517710
Not the european one.
As far was I know they are printing and buying up bonds on steroids.

>> No.11519886

>>11518471
interest rates can go negative.

>> No.11519930

>>11519886
>interest rates can go negative.
Yea that is interest accursed on your bank account so instead of giving you a whole .7% it costs you interst to keep the money in the bank... Look at the japs

>> No.11519946
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11519946

>>11517687

Because the Fed has realized that if they keep kicking the can down the road we're in for Great Depression 2.0: Electric Boogaloo. Unfortunately for us all, they should have been doing this back in 2016; it's too late now and the stock market/bond bubble is twice as big as in 2007.

>> No.11519958

>>11519629
Not anymore. QE is over. Rate is still very low.

>> No.11520377

>>11517687
Because that would mean us going back to something Obama did. Cant have that now. We must repeal everything the evil brown man did.

>> No.11520400

>>11517687
Because they want to undermine Trump right before the midterms.

Reminder that interest is theft.

>> No.11520424

>>11518302
Pretty much. They should’ve let the market correct itself but instead they artificially kept it on life support.

>> No.11521424

>>11518375
Kek

>> No.11521822
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11521822

because the whole rate thing was just a trap.

Step 1: Lower Rates
Step 2: Encourage other countries and companies to borrow cheap dollars.
Step 3: Raise Rates, while simultaneously launching a trade war, making it harder for other countries and companys to earn dollars to pay their debts.
Step 4: Bailout other countries w IMF+Fed. Force other countries to privatize (sell) their assets to US companies in return for the loans.
Step 5: Rinse and Repeat until we own the world.

Thanks for playing, loser.

>> No.11521915

>>11517687
It was very effective, it certainly stopped inflation, that’s the whole point of raising rates. But that also means stocks and commodities are worth less money as money is more valuable.
>why not lower
They’re thinking about it. The plan as of yet is to go above what they feel is neutral and then back down. >>11517745
What a massive hyperbole. We were like 0.30% above our target.

>> No.11521933

>>11520400
How is interest theft you fucking dolt?

>> No.11521932

>>11518302
>>11520424
It isn’t artificial. It spurs real economic growth. And avoiding deep recessions (AND high bubbles) is the whole point. This idea came from paul volcker. The goal is make the boom and bust cycle more like linear growth.

>> No.11521951

>>11521822
>Encourage other countries and companies to borrow cheap dollars.
This is stupid, nobody borrowed USD except US companies.
>Raise Rates, while simultaneously launching a trade war,
This is stupid because US trade deficit has never been that high

>> No.11521975

>>11521933
Its Usury and was punishable by death in over a hundred different countries lmao

>> No.11521982

>>11521933
Let me rephrase: centrally fixated interest levels are theft.
Which pretty much includes all interest today.

>> No.11522005

>>11521932
Artificial bailouts, artificial intervention, fed, etc all mean we had an artificial recovery.

>> No.11522043

>>11522005
Bailouts are one thing. But adjusting interest rates doesn’t create phony growth. It is not the same as just injecting money into the economy. Not doing bailouts would’ve been fucking retarded, look at what DJIA did when congress rejected them the first time.
>this is all fake lol
You really think we should be back to dow 8,000 and shit huh

>> No.11523038

>>11518302
main reason they did that was because no one wanted to see a great depression with the first literal nigger as POTUS.

sad! fuck the fed kikes!

>> No.11523055

What would happen if the Fed was shut down?

>> No.11523074
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11523074

>>11523055
A Golden Age

>> No.11523086

>>11517687
they are playing their part just like trump is. this whole show is going to be used to destroy nationalism and to usher everyone into the one world government with traceable cryptocurrencies and the world reserve. i've been waiting for this my entire life

>> No.11523104

>>11517925
30% is too high right now. all the big players i know have about 10% active; the rest is in cash waiting for the dust to settle.

>> No.11523181

>>11523086
>>11520400
hate to break it to you but trump appointed the fed chair

>> No.11523190

>>11523038
No one wanted to see a great depression with the first BAR Associate president. Obama is in the American Bar Association. You and I can only hold 2 an office in our executive and legislative branch. Lawyers are the only ones that can hold an office in executive, legislative, and judicial branch.

Open your eyes anon. Learn actual, real proper syntax English and stop being a racist fuck.

At the end of the day you're a *PERSON*. A slave. Chattel. The first 8 amendments of The Bill of Rights doesn't apply to you.

>> No.11523212

>>11523181
reading comprehension isn't your strong suit is it

>> No.11523232

>>11523190
>Lawyers are the only ones that can hold an office in executive, legislative, and judicial branch.
this literally violates the titles of nobility clause in the constitution.

>> No.11523248

>>11517687
bc they are trying to jew Trump out of office

>> No.11523269

>>11523190
>>11523232
minus the judicial branch. i quoted your post incorrectly. only the president and congress are not allowed to be lawyers.

>> No.11523289

>>11523269
what are you talking about? 99% of congress are lawyers.

>> No.11523334

>>11517687
If you support low rates while complaining about high housing prices, you are a brainlet.

>> No.11523345

>>11523289
>he thinks the current government is legitimate
you need to read a lot friend. we are under the control of a foreign government and have been since 1862. the constitution and bill of rights do not apply, it is all a show. the jurisdiction of the government is washington dc and no further. hell, on DC license plates the even tell you - it says Taxation without representation. it's all a scam

>> No.11523362

>>11523086
>traceable cryptocurrencies
You do realize that the privacy coins are the ones that are going to take the reigns, right? If we ever go full crypto, bitcoin is dead on arrival and monero or similar is the new king.

>> No.11523378

>>11523345
ok, national treasure.

>> No.11523379

>>11523362
i agree with you. my comment wasn't what i think will be the best solution; only what will happen. do any of you retards know how to read and comprehend? read my post again and think

>> No.11523427
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11523427

You know the feds directive is to keep inflation at 2 perceent right? They are doing as is expected of them, and would do the same if obama went trumpnigger and screwed the economy.

Why don't you go ask the god president why he started his trade war and cut taxes drumpfnigger

>> No.11523491

>>11523086
Interesting angle.