SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : Mish's Global Economic Trend Analysis
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: Knighty Tin who wrote (11058)8/26/2004 12:58:03 PM
From: mishedlo  Read Replies (1) of 116555
 
Hack on the FED media Blitz

the very fact that the fed governors felt a need to go on a media blitz chattering about 'self-sustaining recovery" makes me wonder what was said behind closed doors. the wheels have come off this recovery pretty fast... little surprise to most here. but consider that we have just had two rate hikes, and those effects take 6-9 months to percolate through the economy. the fed is completely painted in a corner. a failure to raise hikes further is an admission that they were wrong and could be greeted skeptically by the markets. raising rates anyway could be worse. and if weaker data come out, any discussion of lowering rates and its "look out below". i believe we are approaching the point of "checkmate" - there are no good options here. in recent history, these have been the times we've seen the most jawboning by the fed, hoping to sway the markets without actually having to do anything that they believe could hurt the economy (ie, raise rates), the irony being that they can't even come out and say they think it could hurt the market. it's like an alice in wonderland environment, with greenspan as the mad hatter, speaking in code, unable to say the truth, and the market is more than eager to gulp down the lies.

-hack
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2025 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News