Our Fed Is Now The ‘Yield Shield’…No Consequences To Bad Monetary Policy Forever And Ever…Right?

Our Fed Is Now The 'Yield Shield'...No Consequences To Bad Monetary Policy Forever And Ever...Right?
Screenshot Youtube

Please Follow us on Gab, Parler, Minds, Telegram, Rumble

Today the Chairman of the Federal Reserve Bank of the United States told Congress that inflation is ‘still subdued’ and free money forever is no problem, effectively providing a backstop to Joe Biden’s business-crushing economic policies if left to stand on their own.

Inflation and employment remain well below the Federal Reserve’s goals, meaning easy monetary policy is likely to stay in place, central bank Chairman Jerome Powell said Tuesday, reported CNBC.

However, smart money is screaming from the mountain tops that this fantasy is just that…a monetary policy fantasy. There will indeed be consequences, and the piper will indeed have to be paid. When this happens? Who knows. But, it is safe to say IT WILL HAPPEN.

The bond market will at some point regain control of the bond market, interest rates will rise, and the U.S. economy will be forever damaged as a result of irresponsible spending and money printing.

As the old saying on Wall Street goes — Interest rates are low until they’re not.

But what it that is Beijing Biden’s goal all along?

Below is a great article outlining just this…reality. (h/t Zero Hedge)


forever consequence free? Can every economic and market problem be solved by ever more intervention? Anyone like myself that has questioned the efficacy of the ever more aggressive interventions we see from crisis to crisis has found these questions to be moot as time and time again central banks have shown to successfully not only erase any corrective activity in markets but also propel markets to ever new highs irrespective of any earnings growth issues, valuations or fundamentals.

Indeed central banks will likely see themselves validated as the expected growth picture that is emerging looks to be the most positive in 55 years…

Yet suddenly we are seeing wobbles in markets. Why? Because of the velocity of inflation expectations and correlated speedy rise in yields…

To read more visit Northman Trader.

Keep The Truth Bombs Coming From CDMedia! Donate!  

The post Our Fed Is Now The ‘Yield Shield’…No Consequences To Bad Monetary Policy Forever And Ever…Right? appeared first on CD Media.

How useful was this post?

Click on a star to rate it!

As you found this post useful...

Follow us on social media!

We are sorry that this post was not useful for you!

Let us improve this post!

Tell us how we can improve this post?

0 0 vote
Article Rating

Bitbuy is a Canadian cryptocurrency trading platform with an easy-to-use interface, low fees, convenient funding and withdrawal options, and unmatched customer service.

Curated News Right To Your Inbox

close

Curated News Right To Your Inbox

Subscribe
Notify of
0 Comments
Inline Feedbacks
View all comments