Breitbart
On Friday’s broadcast of CNBC’s “The Exchange,” International Monetary Fund Managing Director Kristalina Georgieva discussed the IMF’s newest report on the U.S. economy and stated that “inflation is stubborn, it is way too high,” which “means that the Fed will have to keep interest rates higher for longer, all the way into 2024” and “interest rates around 5.25 to 5.5%” will be needed to get inflation on the right track. More
The president of the Cleveland Federal Reserve Bank of Cleveland agrees. Here
I get sticker shock every time I go in the grocery store!
The president of the Cleveland Federal Reserve Bank of Cleveland, Department of Redundancy Department.
WE’RE NOT AT THE EDGE OF THE CLIFF YET
I PREDICT A DISASTROUS 2ND HALF OF CY2023
BUT THAT’S JUST DUMB, DRUNK BENITO
If the fed were serious about reducing inflation, rather than putting people out of work and destroying the economy by raising rates (at an ineffective rate below inflation, mind you), they would raise reserve requirements at the banks. Right now the banks operate with zero reserve requirements. Raise that requirement and it will reduce the overall money supply sloshing around, and bingo bango, inflation will come down. They can’t do that though because the banks, the poor little things, would have a hard time meeting their obligations so we all need to suffer for the benefit of the fat cats running banks. As usual. Hey, they need their always increasing multi-million dollar bonuses, wouldn’t want them to starve ya know.
I can assure you the reserve requirements are still in effect. Actually, they have been increased for certain banks in light of the SVB mess.
Never lose sight of the fact that inflation isn’t EVER going away until such time as we get rid of the Federal Reserve System and close off any avenue for the establishment of another central bank. Inflation is a REQUIRED FEATURE in fractional reserve fiat currency systems.
@Wild Bill — You must be the Official Redundancy Official! (-:
@Anonymous AT 9:04 PM:
But are the assets booked as reserves themselves not subject to fractional reserve valuation? Are you sure?
Anonymous – Here’s the required reserves of banks according to FRED. It was discontinued when the coof hit. I can’t find a chart that says otherwise.
https://fred.stlouisfed.org/series/REQRESNS
Believe the opposite of what the feds/Dems say.
Inflation is doing exactly what they want it to, bleed out the middle class.
Then they will jump in with another multi-trillion dollar plan to bail out the previous failed $1.7 Trillion, claiming it just wasn’t enough.
Uncle Al – 2% baby. We need to lose a minimum of 2%. They tell you right to your face 2% of your currency “value” will evaporate yearly. And everyone looks around and thinks that’s fine. Wait till they back peddle in a couple years and say, well, ya know 3 to 4% is fine with us, the new normal.
My fantasy: The Fed (and all of the feddle govt for that matter) will be required to accomplish all tasks with pencils, paper, manual typewriters, and file cabinets. Communications restricted to the U.S. Postal Service and rotary dial telephones. Any office equipment will be electrical or electromechanical technology only: no chips, no semiconductors, in fact no vacuum tubes. Mechanical adding machines OK.
Hilarity ensues.
Went out to eat lunch after church today, first time in a long while. Serious sticker shock at the prices. Won’t be doing that again any time soon…
@RickeyG,
Been cooking at home but still feeling the prices. Father-in-law died and then bang-zoom the cost for everything, from his eye’s closed to the us walking away from his grave site was shocking!
lived through the Carter Inflation where Credit interest was 21%. bought a house during the Reagan Reset in ’83 before his economic policies reaped results … 12% interest rate on a 30-year mortgage w/ 4 points! paid it because I could afford the monthly, fixed payments w/ my current wage, as most did at that time & still do. I bought a house for 8k, sold it for 13.5k. bought a bigger house for 18k, sold it for $35k & bought a house for 55K. w/ the extra money I had, I bought a new car & a boat & paid off my credit card debts. 8 years later, sold the house for 155k & bought a bigger house w/ acreage for 181k w/ a 4% interest rate & actually made $$$ by getting an even lower monthly payment.
the only question for a person looking for a home to buy is whether or not they can afford the monthly payment based on current & future increases of their income. if the future looks ok, then they go for it … if not, they & their local economy stagnate.
inflation is a scheme in which the large banks make money regardless if it drives the smaller banks out … the scheme of the Federal Reserve (w/ the US Government’s approval)
it’s a big club … & we’re not in it!
https://ia804704.us.archive.org/35/items/pdfy–Pori1NL6fKm2SnY/The%20Creature%20From%20Jekyll%20Island.pdf
… I suggest you read it … at least download it & save for future generations