Tag: Fed is scared shitless

Stocks & Yields Plunge After Powell Presser Fails To Inspire

Via ZeroHedge

Did The Fed just swing from omnipotence to impotence?

It seems an emergency rate-cut of 50bps has done more to damage confidence that rebuild it… “what do they know?”

The Dow is down 1000 points from the post-Powell rate-cut spike high…

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The U.S. Economy Is In Big Trouble

Via Investment Dynamics Research

“You’ve really seen the limits of monetary and fiscal policy in its ability to extend out a long boom period.” – Josh Friedman, Co-Chairman of Canyon Partners (a “deep value,” credit-driven hedge fund)

The Fed’s abrupt policy reversal says it all. No more rate hikes (yes, one is “scheduled” for 2020 but that’s fake news) and the balance sheet run-off is being “tapered” but will stop in September. Do not be surprised if it ends sooner. Listening to Powell explain the decision or reading the statement released is a waste of time. The truth is reflected in the deed. The motive is an attempt to prevent the onset economic and financial chaos. It’s really as simple as that. See Occam’s Razor if you need an explanation.

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