Federal Reserve cuts Interest rate 25 Points - Sell the News

in fed •  5 years ago 

The Federal Reserve just snipped interest rates a little, and having listened to Powell speak for a few moments it seems clear to me that the Fed is getting mixed signals from the economy.

Powell admits that even without Trump's Smoot-Hawley Redux (I'm paraphrasing), the global markets and industries are in slow-down for other reasons, with "the business cycle" being referenced as an umbrella term to catch all variables unaccounted for.

While I don't care about political ideology because it's modern day religion, and I wouldn't trust Donald Trump if he was delivering my newspaper, I do agree with him that a 100 point cut would have been appropriate. That being said, between now and this time next year, we'll probably see more than that in combined rate cuts from the US Central Bank.

I'll end this short post by reiterating that people need to get their ducks in a row soon, because the next two months may be a roller coaster ride.


Thanks for reading. shares and comments always welcome.

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