Jamie Dimon calling for rates to go 2% higher

One guys opinion and it seems obvious the Fed has slowed down their rate raising ... I think they've only raised 0.25 % in the last 3 meetings. But if it does go to 7% it would be a sign of an unstoppable hot economy ... hardly an indictment of Joe Biden

 

Unstoppable hot "inflationary" economy

 

OP is inaccurate, anyway ... he's not "calling for" rates to go to 7%, just saying it's a range of possibilities ... even says "I'm not saying they're gonna happen"... LOL . Thread about nothing.

Dimon didn't go so far as to predict a further 150 basis points of rate rises, but in his view it's not out of the question.

"And two years ago I said 5% was possible, but I'm not saying they're gonna happen. I'm just saying how can you take it out of the range of possibility? Global fiscal spending is higher than we've ever seen probably in the history of mankind other than maybe World War II," he told the Indian publication.

 

Any guesses what industry does well with higher rates? I’ll give you a hint… it rhymes with “skanks”.

 

Biden? Trump? It’s neither. Both were handed the appropriations by nimrods in Congress… trillions and the Jerome did his thing.

 

Or... it's a sign of the fed trying to slow down congress's uncontrollable spending. At some point the congress has to realize that they cannot spend what they DO NOT HAVE.

 

An oldie but a goodie.

 

That has nothing to do with the Fed's mandate, and high interest rates increase the deficit anyway, so that really doesn't make any sense.

 

Lol.. you think they are supposed to work FOR the congress? That's NOT how they were set up. But we know how the communists in congress have tried to make them a "personal" agency of the congress.

 

You are the one who keeps talking about congress, not me. The fed's 'dual mandate' is to promote employment and keep inflation reasonable ... and has nothing to do with controlling deficit, congressional spending, or raising taxes to offset the spending. These are well known facts.

 

Mark this day down in history as the day @murphree_hall and @Gatorrick22 came to a political consensus on an issue.

Spoiler

still Trump’s fault

 

Lol... you think inflation is just a coincidental happenstance, and that it has nothing to do with bad political policies? Think again. The POTUS and congress have been making bad economic decisions that involve over spending and high debt... and all of that is causing high inflation...

The Congressional/POTUS policies are forcing inflation... not "transitory" at all. The fed has to act to stop the congress from killing our economy completely.

 

That's literally not the Fed's mandate and not once have I heard of anyone of the fed officials saying their goal is to counteract congress ... if you can find a quote from a FED official taking that position, post it, otherwise, I think you are just making stuff up.

 

THEY ARE THEY TO PREVENT INFLATION? NO? WHO'S CAUSING IT?

 

Who is causing it? According to the BLS ... "three main components explain the rise in inflation since 2020: volatility of energy prices, backlogs of work orders for goods and service caused by supply chain issues due to COVID-19, and price changes in the auto-related industries." Also mentions a worker shortage that led to increased pay, causing increases in customer costs.

 

DEFICIT SPENDING!!!!!!

 

Just shouting "deficit spending" doesn't make your point. Can you elaborate on why deficit spending was suddenly a problem when it hadn't been a problem since 2000? We had massive deficits since Bush took over, every year, and low inflation. In fact, I think this year, 2023, has been one of the worst years for deficit spending and inflation is coming down. You need to provide some context here and not just shout buzz words, because reality isn't backing you up, here.

BTW ... here is an older FED published article on their views of relationship between deficits and inflation ...

[F]or developed countries, such as the U.S., which tend to have relatively low inflation, there is little evidence of a tie between deficit spending and inflation.

But maybe they changed their minds and forgot to tell us ...

Q3 2005.indd (philadelphiafed.org)

 

Common knowledge that out of control deficit spending is causing our inflation. The FED has to react.

Forget that strawman gibberish about Bush.

Right now were at $1,777+ trillion in deficit spending.. and in debt at $33+ trillion dollars.

U.S. National Debt Clock : Real Time

 

I'll just repost this since it was an edit that wasn't included in your post ...

[F]or developed countries, such as the U.S., which tend to have relatively low inflation, there is little evidence of a tie between deficit spending and inflation.

Q3 2005.indd (philadelphiafed.org)

Also, you still have not posted any evidence that the FED is trying to counter act congress ... I'm guessing you don't have any.