Submitted by Infamous_Sympathy_91 t3_10p7ljx in wallstreetbets
Ok_Edge_1486 t1_j6is61w wrote
Inflation is certainly something the FED can fight and beat. But how much damage can be done to the market is another matter altogether... 50 BPS to show biden is commited to fighting to inflation, 25 BPS to show he's trying to be a centralist. Either way though, 50 bps seems locked in to me...
Remarkable_World_351 t1_j6itby4 wrote
Biden (or any sitting president) has absolutely zero to do with interest rates
Ok_Edge_1486 t1_j6itvxt wrote
You're forgetting the fact that the president has the complete right to hire and fire Federal Reserve Chairmen. In a way, the will of the President is executed through the chairmen. Of course I don't think Biden cares at all about the stock market and is more concerned with increasing wage gains and increasing jobs.
Hacking_the_Gibson t1_j6krxdf wrote
The Fed chair serves at the pleasure of the Senate, not the POTUS.
That’s why Donnie going on Twitter complaining that Powell was raising rates in 2018 was so unprecedented.
neg_meat_popsicle t1_j6ixnac wrote
What about inflation? Do you agree that higher energy costs cause inflation?
MoneyForPussy t1_j6j6ndo wrote
higher energy cost should result in lower energy consumption as service gets shut off due to nonpayment at some point
neg_meat_popsicle t1_j6jddlo wrote
What about logistic costs due to energy?
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