Monday , February 17 2020
Home / Jay Taylor Media / Jan 20th, 2020: Three Links, Three Tweets

Jan 20th, 2020: Three Links, Three Tweets

Summary:
By: Tho Bishop Three Links While we’re assured by the financial press that the Fed is full of Very Serious People, it’s alarming how clueless some members of the Fed seem to be about the current operations of the central bank. The latest example Neel Kashkari’s take that the injections into the repo market have no impact on equity pricing. EconomicPolicyJournal: Stunning: Minneapolis Fed President Put Out Tweet Indicating He Doesn’t Know How the Fed Creates Money Will Not-QE Soon Become QE4? Danielle DiMartino Booth thinks so. “The Fed will tell you it’s all technical in nature,” she said. “In their last minutes, they said that if they had to move into [longer] coupons, they would. So the table has been set.” MarketWatch: The Federal Reserve is stuck in quantitative-easing hell A

Topics:
Mises Institute considers the following as important:

This could be interesting, too:

Charles Hugh Smith writes The Fed Has Created a Monster Bubble It Can No Longer Control

Peak Prosperity writes REPLAY VIDEO: Coronavirus Q&A Webinar

Frank Holmes writes Where to Get Income in a Low-Yield World

Alasdair Macleod writes Coronavirus and credit – a perfect storm

By: Tho Bishop

Three Links

While we’re assured by the financial press that the Fed is full of Very Serious People, it’s alarming how clueless some members of the Fed seem to be about the current operations of the central bank. The latest example Neel Kashkari’s take that the injections into the repo market have no impact on equity pricing.

EconomicPolicyJournal: Stunning: Minneapolis Fed President Put Out Tweet Indicating He Doesn’t Know How the Fed Creates Money

Will Not-QE Soon Become QE4? Danielle DiMartino Booth thinks so. “The Fed will tell you it’s all technical in nature,” she said. “In their last minutes, they said that if they had to move into [longer] coupons, they would. So the table has been set.”

MarketWatch: The Federal Reserve is stuck in quantitative-easing hell

A decade of massive credit expansion in China has manifested in a variety of bubbles within the country, particularly in real estate. While the fallout from 2008 wasn’t nearly as severe in the country as it was in the west, it severely shook confidence in China’s stock market – which has never recovered pre-crisis times. Instead, Chinese consumers have focused on land and financial products offered by shadow banks. Now, the consequences of China’s debt saturated economy are starting to make the middle class anxious.

South China Morning Post: China’s middle class frets the ‘good times’ are over amid sliding house prices, stagnant wages

Three Tweets

#SouthKorea’s president thinks spending $51.2 bn on infrastructure will revive SK’s floundering #economy. The last decade of failed #govt spending programs suggest otherwise. #FreeMarkets, not white elephant infrastructure, will turn the economy around.https://t.co/XPI1LZwHuM

— Prof. Steve Hanke (@steve_hanke) January 20, 2020

Until the Fed did 3 quick rate cuts over the summer further intervening into “markets” to uninvert the yield curve. https://t.co/0gAXyqJ7lk

— Jason Burack (@JasonEBurack) January 17, 2020

Fed bugs are people with stubborn and unyielding belief in the abilities of central bankers, even in the face of history and current evidence to the contrary.

— Jeff Deist (@jeffdeist) December 30, 2019

Powered by WPeMatico

Mises Institute
The Mises Institute, founded in 1982, teaches the scholarship of Austrian economics, freedom, and peace. The liberal intellectual tradition of Ludwig von Mises (1881-1973) and Murray N. Rothbard (1926-1995) guides us. Accordingly, we seek a profound and radical shift in the intellectual climate: away from statism and toward a private property order.

Leave a Reply

Your email address will not be published. Required fields are marked *