Wednesday, July 16, 2014

A situation well designed for the guillotine - The Federal Reserve


Regardless of what you name, it the "Federal Reserve Nightmare" or the "Yellen conundrum," the box Ben Bernanke made when he painted both himself and the Federal Reserve in a corner remains. Bernanke has by passing the chairmanship to Yellen escaped from the QE trap but left the rest of us fully in its grasp. With a policy of loose and cheap money and an inflation target of just 2% the Federal Reserve  continues to please those gambling that not fighting the Fed guarantees profits. As many Americans are forced to pay higher food, gasoline, and health insurance premiums, I wish someone would let the Fed know we have already exceeded their target. Any thought that inflation is not higher has come from the false illusion brought from lower payments on things like auto loans and mortgages, this is a one off and will not continue. 

Read more... at Advancing Time

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