interest rates following gas prices?

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tmcats
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interest rates following gas prices?

Post by tmcats » May 4th, 2021, 2:06 pm

Treasury Secretary Janet Yellen said Tuesday the Federal Reserve may need to raise interest rates to prevent the economy from overheating, a notion that the central bank has resisted.

Yellen’s concession comes as President Joe Biden’s administration has been pumping money into the economy as part of an aggressive fiscal policy intended to pull the United States out of a pandemic-induced slump. Some economists have feared that the spending, coupled with the Fed’s ultra-low rates, could cause too-high inflation.

“It may be that interest rates will have to rise somewhat to make sure that our economy doesn’t overheat,” Yellen said.
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Post by Zoltar » May 4th, 2021, 3:39 pm

Powell says the Fed does not plan to raise rates this year. Fed funds rate is 0% to 0.25% now. Did you expect them to go lower? You should try to understand monetary policy. Higher rates are actually better for retired fixed-income investors. If rates were any lower you would have to pay your bank to open a savings account.

https://www.cnbc.com/2021/04/11/powell- ... onomy.html
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Post by tmcats » May 4th, 2021, 3:49 pm

actually, i don't have my money in the bank. anyone suggesting that unlettered strategy must be a son of jimmy carter.

the fact the treasury suggests the fed raise interest rates tells us that yellen is more concerned with inflation than administration progressives printing the money. and further that inflation may be on the way as most of us have believed would be the case since joe biden was elected and started implementing his leftist platform.
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Post by RichardZ » May 4th, 2021, 5:55 pm

"Higher rates are actually better for retired fixed-income investors"

Ahhh. Longing for the Jimma Carter days. I remember having a couple of CD's that paid 15%.

Bring back those rockin' rollin' days of zero risk and substantial returns.

I owe nobody nuttin' so I am ready!

As an aside anyone that doesnt think inflation is hitting NOW hasnt left the house.

Was at Lowe's today. A hanging basket of petunia's $37.50! A boxwood plant at a nursery the other day (about the size of a peach basket)
$287.00

Have you eaten out lately. Prices in restaurants are up 25%-40%. At least at the one's we frequent. Filled up the dually today. $98.40.
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Post by ToledoCat#3 » May 4th, 2021, 6:55 pm

The Fed can't afford to let interest rates go higher unless they want to trigger an inflationary crash, which they certainly don't want to happen on Biden's watch.

Now, I'm with RZ. Inflation is everywhere you go and everything you do.

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Post by WIldWIllieCat » May 4th, 2021, 7:24 pm

republicans printing money good....because partytardery
democrats printing money bad....because partytardery
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Post by tmcats » May 4th, 2021, 7:30 pm

leftists print money at a much, much higher rate than conservatives. that's the issue here, thus yellen's reaction.
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Post by WIldWIllieCat » May 4th, 2021, 7:45 pm

partytardery

+100 internet forum points
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Post by ChemicalKat » May 4th, 2021, 9:20 pm

tmcats wrote:
May 4th, 2021, 3:49 pm
actually, i don't have my money in the bank. anyone suggesting that unlettered strategy must be a son of jimmy carter.

the fact the treasury suggests the fed raise interest rates tells us that yellen is more concerned with inflation than administration progressives printing the money. and further that inflation may be on the way as most of us have believed would be the case since joe biden was elected and started implementing his leftist platform.
Shouldn’t you know the difference between fiscal and monetary policy?

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Post by SCKSCat » May 5th, 2021, 7:44 am

Bank of America....

"On an absolute basis, [inflation] mentions skyrocketed to near record highs from 2011, pointing to at the very least, “transitory” hyper-inflation ahead."

This doesn't sound good.

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