As we wait for the Fed to make its widely anticipated interest rate decision, this is one that could go either way. The debate is not whether the Fed will cut rates but by how much.
50bps rate cut
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I already posted links to last week’s pro-big cut yakkings by the FT and wsj’s timiraos
and more today by Greg Ip
take it fwiw, BUT probably more importantly: how will the market react
50bps rate cut
–
I already posted links to last week’s pro-big cut yakkings by the FT and wsj’s timiraos
So here is more screaming:
from never-trumper Dudley
brainard … remember her ?
National Economic Council Director Lael Brainard speaks at a press briefing
Mon, September 16, 2024 at 12:40 p.m. EDT
(Reuters) – Top White House economic adviser Lael Brainard on Monday declared that the U.S. economy had turned the corner in bringing down inflation and it was now time to focus on safeguarding recent progress in the labor market.
“Today, we are at an important turning point. Inflation is coming back down close to normal levels, and it is important to safeguard the important labor market progress we have made,” Brainard
Just a quick comment on a present condition. EU productivity has grown on average only 0.7% a year since 2015. I spoke with a CTA in the 1990’s about the EU and he did not believe it would survive in the long run in part because the major sovereigns were acting like dominant powers and camouflaging it. Draghi has a viable plan but the framework and agendas of the dominant powers are too fragmented and power hungry for it to take root. I do not feel this is a “European thing” as much as it is human nature.
The EU is facing that moment when the façade requires major structural adjustment or it will fail in time. They need to re-write the contracts to save themselves.
As we wait for the Fed to make its widely anticipated interest rate decision, this is one that could go either way. The debate is not whether the Fed will cut rates but by how much.
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