The Briefing Room

General Category => Editorial/Opinion/Blogs => Topic started by: corbe on December 17, 2018, 10:46:55 pm

Title: Trump's verbal attacks on the Fed hurt his cause
Post by: corbe on December 17, 2018, 10:46:55 pm: Trump's verbal attacks on the Fed hurt his cause

By Desmond Lachman, opinion contributor â€” 12/17/18 05:30 PM EST

President Trump is most likely correct to think that the Fed would be ill-advised to raise interest rates at its meeting on Wednesday.

However, by expressing that view so forcefully and publicly, he increases the odds that the Fed might be compelled to raise interest rates despite a weak case for doing so.

It might be forced to do so in order to maintain its credibility as an independent institution that is free from outside political interference, especially from the president of the United States.

Among the valid arguments that President Trump advances to support his no-further-rate-increase case is that U.S. inflation remains very well contained and that the dollar has been strengthening. He also argues that â€œthe outside world is blowing up around usâ€ with Paris burning and the Chinese economy being way down.

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https://thehill.com/opinion/finance/421707-trumps-verbal-attacks-on-the-fed-hurt-his-cause (https://thehill.com/opinion/finance/421707-trumps-verbal-attacks-on-the-fed-hurt-his-cause)
Title: Re: Trump's verbal attacks on the Fed hurt his cause
Post by: Dexter on December 17, 2018, 10:50:27 pm: Quote from: corbe on December 17, 2018, 10:46:55 pm
the Fed might be compelled to raise interest rates despite a weak case for doing so.

Lol, what a bunch of horseshit.
Title: Re: Trump's verbal attacks on the Fed hurt his cause
Post by: corbe on December 17, 2018, 10:56:54 pm: I agree @Dexter the premise of this article is not compelling and highly discombobulating, IMHO. Another slow news day.
Title: Re: Trump's verbal attacks on the Fed hurt his cause
Post by: Cyber Liberty on December 18, 2018, 02:08:37 am: Quote from: Dexter on December 17, 2018, 10:50:27 pm
Lol, what a bunch of horseshit.

Yeah, I agree with that. The Fed will do what it does. I think they will not raise rates Wednesday.
Title: Re: Trump's verbal attacks on the Fed hurt his cause
Post by: InHeavenThereIsNoBeer on December 18, 2018, 02:29:43 am: I think the biggest reason the Fed wants to raise is it knows recession is coming and wants its arrows back in the quiver.
Title: Re: Trump's verbal attacks on the Fed hurt his cause
Post by: Hoodat on December 18, 2018, 02:33:19 am: Whatever happens, we can count on the Fed to do the wrong thing.