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The Fed Does Not Care About You – Darlinez News.

<p> &lbrack;ad&lowbar;1&rsqb;<br &sol;>&NewLine;<&sol;p>&NewLine;<div>&NewLine;<p>When people talk about the Federal Reserve&comma; it is often in terms that they view the institution as a person&period; A person cares about the future&comma; or can care&period; A person can care about your welfare&period; The Federal Reserve does not care about you at all&period; Get used to that&period;<&sol;p>&NewLine;<p>People look at Jerome Powell&comma; the Chair of the Board of Governors of the Federal Reserve System&comma; and they assume he is in charge&period; However&comma; in most ways&comma; he is not&period; The board has seven members&period; The slightly larger Federal Open Market Committee has these seven plus the head of the New York Fed and four of the 11 Reserve Bank presidents&period; These Reserve Banks are the Fed’s regional branches&period; Powell has a vote&comma; but he easily could be in the minority&period;<&sol;p>&NewLine;<p>The Fed believes it is doing the best for you&period; Today&comma; that means raising rates rapidly&period; The most recent increase was 0&period;75&percnt;&period; The governors would argue they do not want you and your employers &lpar;unless you are retired&rpar; to have to deal with inflation&period; Their theory is that high-interest rates will cut economic activity&comma; bringing down demand for goods and services&comma; which brings down inflation&period; If that does not work for you&comma; the Federal Reserve doesn’t care&period; It believes it works on behalf of the entire country&comma; whether or not the entire country looks like you&period;<&sol;p>&NewLine;<section id&equals;"email-subscribe" class&equals;"section section-email-sub single-email-sub"><&excl;-- div&period;svg-icon --><&sol;p>&NewLine;<div class&equals;"container">&NewLine;<div class&equals;"subscribe-message" style&equals;"line-height&colon; 1&period;3&semi;">&NewLine;<p>Get Our Free Investment Newsletter<&sol;p>&NewLine;<&sol;p><&sol;div>&NewLine;<&sol;p><&sol;div>&NewLine;<&sol;section>&NewLine;<p>The Fed does not care if mortgage rates go up and you cannot buy a house&period; It does not care if car loan rates go up and you cannot buy a car&period; If you can’t buy a car&comma; the economy may cool down&period; The car price may be better&comma; but you may have been laid off because of the slower economy&period;<&sol;p>&NewLine;<div class&equals;"recirc recirc-text">&NewLine;&Tab;&Tab;&Tab;<strong><&sol;p>&NewLine;<p>&Tab;&Tab;&Tab;&Tab;ALSO READ&colon; 14 Household Items That Are Actually Getting Cheaper<br &sol;>&NewLine;&Tab;&Tab;&Tab;<&sol;strong>&NewLine;&Tab;&Tab;<&sol;div>&NewLine;<p><&sol;p>&NewLine;<p>The Fed does not care if you don’t have a job&period; The governors assume that for inflation to fall&comma; jobless rates must go up&period; And it has to go up by a rate that will put millions of people out of work&period; Food may be less expensive&comma; but you may be unable to afford it&period; In the Great Recession&comma; as a frame of reference&comma; the jobless rate reached 10&percnt;&period;<&sol;p>&NewLine;<p>The Fed is not your friend&period; As the cruel corporate raider Gordon Gekko said in the film &OpenCurlyDoubleQuote;Wall Street&comma;” &OpenCurlyDoubleQuote;If you want a friend&comma; get a dog&period;”<&sol;p>&NewLine;<p>&Tab;&Tab;&Tab;&Tab;<&excl;-- &num;post-footer--><&sol;p><&sol;div>&NewLine;

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