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/biz/ - Business & Finance

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55001839 No.55001839 [Reply] [Original]

He’s right, you know. Everyone expecting it so…

>> No.55001857

>>55001839
Everyone is expecting it which is why it won't happen

>> No.55001988

>>55001839
>Everyone
Everyone but wall street. The only people expecting were working class.

>> No.55002077

>>55001839
On account o' the Internet.

>> No.55002122

>>55001988
I worked for a big airline and the CEO kept talking about how he expects a recession in townhall (god I hate that term) meetings with employees. The guy founded the company from a single aircraft 20 years ago so he's not really the type to just coast on his job

>> No.55002150

>literally everyone expects the sun to rise tomorrow
>so it won't happen

>> No.55002218

>>55001839
If some econ nerd can predict it, so could the Federal Reserve and they'd have done something about it.

>> No.55002251

>>55000000
>>54999999

>> No.55003036

>>55002122
Richard Branson?

>> No.55003046

>>55002218
>so could the Federal Reserve and they'd have done something about it.
The Fed needs a recession or they're screwed. It's either we have a global recession now or inflation expectations become unhinged and companies price gouge until everyone is in poverty. The Fed knows there's a recession coming and they will make sure it happens

>> No.55003072
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55003072

>Federal Reserve and they'd have done something about it.

>> No.55003076

>>55001839
The mistake isn't that things will get bad, but that they'll only get "recession-bad". A recession is a temporary deviation from trend, e.g. 3 months of economic turmoil, followed by a return to that trend - a dip, if you will.
A depression is the breakdown of a trend, with no recovery. "Buy the dip" won't work because there won't be "a dip", but a systemic breakdown.

>> No.55003105

>>55001988
Of course, hence why ot won't happen the dumbest class as they call them is always wrong

>> No.55003114

>>55002218
They likely know what's the rough threshold for recession. But they have political games to play as well, I feel like they are waiting to crash it later.

>> No.55003188

>>55003046
I agree with your last sentence. But they don't need to cause a recession. They don't even need to raise rates at all to stop inflation. All they would need to do is raise the banks' reserve requirements that they lowered to zero in 2020. Raising the interest rate just makes it more expensive to create new dollars. There is still no limit on how many can be created, as long as people are willing to pay the price. (They'll have to keep borrowing even more as the recesion gets going) Raising the reserve requirements would actually stop the creation of new dollars and stop inflation in its tracks.

>> No.55003210

>>55002122
Same but for a Real Estate company. The guy started off flipping houses in 1999 and has 6 brokerages under him now. He's been hunkering down for a recession since 2018

>> No.55003250

>>55003188
I heard a funny analogy about this, I forget who said it, maybe Tom Luongo.
Fighting inflation with interest rates is like swatting a fly with a 12ga shotgun. Yeah, if you take enough shots at it, you'll kill the fly. But you'll cause a lot of unecessary destruction in the process.

>> No.55003274

>>55001857
>Everyone is expecting it
>Every bank goes under one after the others

>> No.55003290

>>55003274
Excellent point.

>> No.55003319

>>55002150
This, mumus never do learn..

>> No.55003955

>>55001839
recession me daddy