Fed’s Jerome Powell: Inflation remains too high and path forward is uncertain

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Fed Chair Jerome Powell speaks following the Federal Reserve’s Federal Open Market Committee’s decision to keep interest rates unchanged, and provides updates on the Fed’s fight against inflation.

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25 COMMENTS

  1. Think the real news is that Fed is restarting Quantitative Easing. They are cutting the Fed's Treasuries on the balance sheet from $60 billion a month to $25 billion a month, on the surface it looks like they are still Quantitative Tightening. The Fed is leaving rolling off $35 billion a month of Mortgage Backed Securities BUT Fed announced they are going to reinvest the principal into Treasuries. So reducing Treasuries by $25 billion @ low interest rates yet buying $35 billion of new treasuries @ higher rates is Quantitative Easing. Fed as a buyer of Treasuries will help reduce long term rates. This is the big story. Restarting Quantitative Easing before the election will make the economy seem less bad and is good for stock market.

  7. MAXIMUM EMPLOYMENT IS NOT LOW UNEMPLOYMENT lol FED is wanting the unemployment to go up and then they will consider cuts! He can’t say that but he did technically say it in this meeting.

  10. The Federal Reserve is Confused
    In one minute they want to raise rates to slow inflation down, the same inflation that they caused after the 2020 Pandemic. By now it should be no secret that inflation has taken off the runaway and is at cruising altitude. All you need to do is to go grocery shopping and it’s obvious that prices are up by 30% . You’ll either pay more or you’ll get a smaller package either way that’s caused by inflation. Let’s take a look at the situation, an economist once said that only government can cause inflation, that’s because only government can run the printing presses and create more currency. The process is complicated and I won’t explain it all here as it would take a book. It has to do with the government creating a bond and selling it to the Federal Reserve and then once that is done, which remember the interest on that bond needs to be paid back by you and I the tax payers. Well when this process is complete this currency goes into circulation and into the eventually into the prices of everything. So you can see that only government can cause inflation. So why does this bother me you might ask yourself, I will explain, inflation is just the dollar our currency loosing it’s purchasing power, you now need more of them to purchase the same items that you would normally use. Real money is supposed to hold purchasing power over long periods of time. The U.S. dollar doesn’t do that . This is an important distinction, I will explain how bad this can be. Let’s say you have a job as a Janitor and over 30 years you manage to pay off your small house and to save some cash for your retirement, then along comes the government and the Federal Reserve and they print trillions of more dollars which that process reduces the purchasing power of those dollars that you managed to save. How you say? Through inflation those dollars will not buy you as much as they once did. You are actually paying a tax for the creation of those dollars in the process of inflation, but not one in a million persons will catch that. Most people think that inflation is just a natural phenomenon that we have no control over. This treatise is getting a little too long so I will leave the rest for another time, but Ive given you something to ponder.

  11. Regardless what your report stated. You feds are cooking the balance sheet and every USA bank is too. The average American has increased debt due to not being able to afford the basic needs. And regardless the country is heading to a crushing economic crisis. The margin is not reversible, The way government is allocating economic resources is only creating a greater resistance against world governments, perhaps you can explain why the USD is declining as a reserve currency. In the second Note you well know the BRICKS are 100% self-sustainable VS USA is not… USA The world order doesn’t exist anymore, or you can ask who is the main participant of the wars around the world. The usd taxpayers are paying for such?? But I can say the numbers are looking great among the corrupt politicians, USA is heading to a self destruct mode. Government has lost the ability to understand its primary purpose to serve We The people and our Nation 🇺🇸.
    And if Government has the smartest minds explain why are they driving the country to higher and higher debt.

  13. The labor market isn't strong for many highly skilled technical professions. Too many base level jobs, too few jobs for the highly trained.

  17. The dollar has become a double-edged sword, as the world's main currency, because America uses it to impose sanctions on countries that do not comply with its socio-economic policies.

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