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bucolic_frolic

(43,037 posts)

13. Monetary policy no longer has a lot of influence

Reply to mahatmakanejeeves (Original post)

Wed Jul 31, 2019, 04:00 PM

Jul 2019

We have overcapacity in everything. Every business has expanded, new ones have started up, all due to these 11 years of unprecedently cheap capital. Businesses are paying their loans on low margins due to all the competition, and steady if unspectacular profits. This will all change if the economy slows - ultra low profits and refi's. The Fed has no choice in the matter. We have a choice - a horrific shakeout and recession, or a very inflationary stagflation. You read it here.

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Fed cuts interest rates by quarter-point and ends quantitative tightening early [View all] mahatmakanejeeves Jul 2019 OP

Trump will take credit underpants Jul 2019 #1

If the Fed can be bullied so easily by this president IronLionZion Jul 2019 #2

"Stocks turn negative" saidsimplesimon Jul 2019 #3

"Buy on the rumor; sell on the news." NT mahatmakanejeeves Jul 2019 #5

Great slogan, saidsimplesimon Jul 2019 #7

Dumbo Donnie is about as irrational as it gets IronLionZion Jul 2019 #11

Which is why I call stock markets "the casino". n/t customerserviceguy Jul 2019 #9

Make AmeriKKKa great again! CountAllVotes Jul 2019 #4

We us proles sure as hell won't durablend Jul 2019 #10

DOW DOWN 327 points right now............. Bengus81 Jul 2019 #6

I keep waiting for Putin and MBS watoos Jul 2019 #8

They've completely decimated Venezuela through low oil prices IronLionZion Jul 2019 #12

Monetary policy no longer has a lot of influence bucolic_frolic Jul 2019 #13

Caving to the bully when they shouldn't. ananda Jul 2019 #14

so the new role of the fed Astraea Jul 2019 #15

Give the rich man easy money, and... safeinOhio Jul 2019 #16

Thus admitting the economy is slowing. nt SunSeeker Jul 2019 #17

Worse. OilemFirchen Jul 2019 #18