What the Fed's Lack of Progress Means for the Markets
From my experience, I can’t recall another situation in which we had a fresh bubble in the middle of a prior bubble bursting.
Jerome Powell testified before Congress this week in what was clearly an attempt to prepare everyone for the start of interest rate cuts in a few months. He noted that, “holding rates too high for too long could jeopardize the economy…and unduly weaken economic activity.” Hmmm. So much for the Paul Volkeresque tough guy approach to central banking. Let’s revisit some of the data and consider the real message.