Fed rate cuts are already over after they barely started as blowout jobs report shifts focus to hikes, BofA says

10 comments

1. “Inflation is stuck above target and risks are skewed to the upside. Economic activity is robust. We see little reason for additional easing.”

   This is the gist

2. Bring it on! Cds tend to follow Fed funds rate more so than 10yr yields.( at least currently).I’m retired so cds are a part of my income. Show me the higher Rates!!!!

3. They were cutting way too fast from the 50bps right off the bat and the subsequent follow up every meet

4. Stagflation

5. The jobs report is *bullshit*.

   Anyone who frequents reddit knows this. There’s too many reports of recent college grads unable to find work.

   And no I’m not talking underwater basket weavers and communications degrees, I’m talking STEM & medicine.

6. Fed raised rates to late and then cut too early. The Fed is to blame.

7. So… Powell tells us what we need to know in what might be his last meeting before trump replaces him with a lackey who will lower rates.

8. Don’t worry, unemployment is about to go way up in SoCal; on top of the film/tv biz being dead for two years.

   Its insanity.

9. The fed rate is 4.33.

   That’s not that far off from a target of 2-3.

   The closer you get the harder it’s going to be to lower.

   The fed has one job, which is to worry about an overheated economy that would lead to a recession.

   They have one main tool which is this rate.

   I’m not sure why anyone would believe that the economy is not in danger of going into a recession .

   Thus is makes sense that cuts are not super likely.

10. It makes a lot more sense when you realize that 2-3% inflation isn’t the target, 4-5% is

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