The Federal Reserve members seem intent and content to make fools of themselves with continuous threats to raise interest rates. Some of them seem to discharge the “rate hike next meeting” utterance regularly as if they have Turret’s Syndrome. And yet, when the rubber meets the road, there’s no change in monetary policy.
And then there’s Janet Yellen. She becomes more pathetic with every public appearance. Today one of the CNBC goons asked her if the Fed has a credibility problem. If you can make sense of her answer please explain it to me. I really hope she was starting to trip on LSD someone might have slipped into her coffee because her response is nothing more than unintelligible utterances (as quoted from Zerohedge.com):
Well, let me start — let me start with the question of the Fed’s credibility. And you used the word “promises” in connection with that. And as I tried to emphasize in my opening statement, the paths that the participants project for the federal funds rate and how it will evolve are not a pre-set plan or commitment or promise of the committee. Indeed, they are not even — the median should not be interpreted as a committee-endorsed forecast. And there’s a lot of uncertainty around each participant’s projection. And they will evolve. Those assessments of appropriate policy are completely contingent on each participant’s forecasts of the economy and how economic events will unfold. And they are, of course, uncertain. And you should fully expect that forecasts for the appropriate path of policy on the part of all participants will evolve over time as shocks, positive or negative, hit the economy that alter those forecasts. So, you have seen a shift this time in most participants’ assessments of the appropriate path for policy. And as I tried to indicate, I think that largely reflects a somewhat slower projected path for global growth — for growth in the global economy outside the United States, and for some tightening in credit conditions in the form of an increase in spreads. And those changes in financial conditions and in the path of the global economy have induced changes in the assessment of individual participants in what path is appropriate to achieve our objectives. So that’s what you see – that’s what see now.
Say what? That’s not what I see. What I see is pathetic pscycho-babble from a human with dementia settling in…
For an interesting take on the FOMC policy announcement today, Eric Dubin at The News Doctors posted a discussion between Peter Schiff (Euro Pacific Capital) and Andy Brenner (Guggenheim Partners) that’s worth watching if you don’t care to watch the NCAA hoops tournament play-in games: Peter Schiff/Andy Brenner On Today’s FOMC Meeting.
Con..Fidence is fading and Janet wants to avoid the lamppost and the noose. She is smart to appear fragile and fading. She is a mirror of our republic. Her Demographic just won’t retire and release their ideas of American exceptionalism.
> Say what? That’s not what I see. What I see is pathetic pscycho-babble from a human with dementia settling in…
Greenspan did the same thing.
“ I know you think you understand what you thought I said but I’m not sure you realize that what you heard is not what I meant”
They are not idiots.
They just do the only thing they have to do : Win time, kick the can down the road.
Is there a youtube video of this demented conversation available anywhere, that you’re aware of? Would make for good sharing material.
The dollar’s not liking Janet’s jawboning much. Gold and silver up nicely though.
Off-topic but important:
I notice that silver has not been able to break through GB£11.00 per oz. Yet another breach was ‘repelled’ for the nth time and this has been going on since 4th Feb. 2016! Every time £11.00 per oz. silver happens, GB£ has some amazingly IMPROBABLE rise and today more than takes the biscuit as it was trading at c. 1.42500 this morning (GMT/UTC) and when I just looked (13.30 GMT/UTC) it had gone up over 200 basis points to 1.4450! The manipulation is just off the scale and, I think, it is now out of (anyone’s) control.
Good news: it all tells me that a first stage re-set is very close. Why on earth would the above happen unless that control that they wield so blatantly was not, somehow, about to become ‘unglued’ or perhaps wrested from them? As always, wishful thinking or perceptive comment? You decide.
The mainstream media of followers and worshipers of lunatics like presidents and other politicians [and the Fed] must think she is so intelligent they need to redouble their efforts to understand her wisdom. Few [if any?] will point out how clueless the fed is.
Gold continues to go higher and mining stocks are on a tear. It looks like the current rally has few believers and the flight to safety has begun.
The Fed, is part of the left Dem. oligarchy/plutocracy. The game is to attempt to keep the markets elevated until after the elections on Nov. 8th. so we can have another 4 years of Keynesian madness and ongoing Socialism. It doesn’t really matter what Old Yeller says to me. “What difference, at this point, does it make?” So far the strategy appears to be working, with a new high today for the Dow in 2016. Another bubble percolating. Will this last until election day? I don’t know. History suggests otherwise, but time will tell. The Fed is continuously blowing bubbles. The aftermath of which is devastating to the real economy. I foresee more bailouts and more bubbles. It won’t end until our current crazy financial system hits the reset button. “As long as the music is playing, you’ve got to get up and dance.” – Chuck Prince . The outcome will be the same as last time. Rinse and repeat. Sheer madness. “It’s deja vu all over again.” – Yogi Berra.
Yup, looks like they are very determined to prop up the house of cards till the end of Obama’s presidency. But even with all the resources at their disposal, I don’t think they can ensure it stays propped up. The 2000 crash was monumental and it happened during the last year of Clinton’s second term. The more they inflate the balloon, the louder it is going to pop.
She’s TRYING as hard as she can to channel Greenspan. But it’s no use. She’s not even in the same league.