FED left rates unchanged

[Fernando]

FED is too data driven. Thus left rates unchanged.
Economy may be weakening and rates need to go down to sustain our growth.
Like real good appraisers, we look at past data but we see "signs" of what the future is heading.
Rates have to go down by September as the market anticipates or else ... I don't want to think about it.

 

[RCA]

You need to look at the value of the dollar on the international market. It has been going down against the Japanese Yen, up against the Euro and Australian Dollar, down against the Chinese Yuan, otherwise more or less holding steady against most currencies. So, from this perspective, no change makes a lot of sense. The most important thing, one could argue, is keeping the US Dollar's role as the primary currency in the world, the most stable currency.

The problem we are left with is the US debt, the budget. The government is spending too much, too much for nothing productive.

 

[Zoe]

FED is still on that 2% inflation rate target.

What banks pay to borrow money overnight is directly related to the FED decision.

The FED rate impacts money supply. I do look for a cut in September or December.

Depends on what inflation does.

If inflation goes up, they may raise rates to shrink the money supply.

The 2% inflation rate is considered healthy to the FED.

 

[Tom D]

this is common practice for the fed. over inflate the economy, then hit the breaks hard.
infer you missed it, the experts, keep the rate where it is if even a hint of going back to inflation.
repeat every 10-20 years. helps to destroy cash, and the middle class. or maybe there is some secret motive.
all the parts of government have no concern about their over spending and devastating consequences.
a pox on both of them. it is the destruction of middle class wealth.

 

[Zoe]

The two big factors I see are low unemployment and Fed short term borrowing rate to banks.

They had no reason to lower fed funds borrowing rate until they get close to that 2% inflation rate they want.

It may be a while before they lower the fed funds rate.

The economy is hot right now which indicates oversupply of money. The Fed's goal is to shrink the money supply. Reach that 2% inflation rate.

 

[Vermonter]

helps to destroy cash, and the middle class. or maybe there is some secret motive.

Force everyone into CBDCs. Easier to control that way

 

[Zoe]

this is common practice for the fed. over inflate the economy, then hit the breaks hard.
infer you missed it, the experts, keep the rate where it is if even a hint of going back to inflation.
repeat every 10-20 years. helps to destroy cash, and the middle class. or maybe there is some secret motive.
all the parts of government have no concern about their over spending and devastating consequences.
a pox on both of them. it is the destruction of middle class wealth.

yeah.

 

[Zoe]

Force everyone into CBDCs. Easier to control that way

Maybe. The bible speaks of cashless society and mark of the beast to buy and sell anything.

 

[Zoe]

I heard on flying rules this morning for dogs. They have new rules on dogs being able to fly.

Any dog under 6 months old is treated different and it depends on Nation the dog is flying from.

I think the dogs have to be microchipped to fly.

I don't think dog under 6 months old can fly from different country.

I could be totally wrong.

I am close on the new rules.

 

[Zoe]

Here you go:

https://www.usatoday.com/story/travel/news/2024/07/31/cdc-rules-dog-travel/74510559007/