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Jerome Powell coming to Congress today

Posted on 6/24/25 at 7:35 am
Posted by RebelExpress38
In your base, killin your dudes
Member since Apr 2012
14217 posts
Posted on 6/24/25 at 7:35 am
I’m sure it’ll be another light news days today

Posted by beaverfever
Arkansas
Member since Jan 2008
35398 posts
Posted on 6/24/25 at 7:43 am to
I want to know why he went from “I’m data dependent” to “I’m waiting to confirm my own assumptions on future data”.
Posted by SDVTiger
Cabo San Lucas
Member since Nov 2011
93240 posts
Posted on 6/24/25 at 7:48 am to
Too Late said hes forward thinking cause Tariffs

Yet he uses old data to make decisions

Kinda reminds me of when he said inflafion was transitory
Posted by BHTiger
Charleston
Member since Dec 2017
8397 posts
Posted on 6/24/25 at 9:51 am to
Powell made Talib and Trump agree.......dude is a peacemaker.
Posted by beaverfever
Arkansas
Member since Jan 2008
35398 posts
Posted on 6/24/25 at 10:03 am to
If we have to finance debt at 100 basis points higher than we otherwise could (if the fed lowered rates), how is that looking out for inflation? They know how much monetary inflation we’re going to see from that added debt.
Posted by tigerfoot
Alexandria
Member since Sep 2006
60675 posts
Posted on 6/24/25 at 10:11 am to
quote:

I want to know why he went from “I’m data dependent” to “I’m waiting to confirm my own assumptions on future data”.
Cause he looks for anything possible to support his already made up mind. Data good for him, great he uses it......data bad for his position, no problem, he will still do what he wants because he thinks the data in the future will support him.
Posted by beaverfever
Arkansas
Member since Jan 2008
35398 posts
Posted on 6/24/25 at 10:14 am to
Nm
This post was edited on 6/24/25 at 10:28 am
Posted by Hateradedrink
Member since May 2023
3980 posts
Posted on 6/24/25 at 12:13 pm to
I’m honestly not sure they’re thinking about this.

They’re trying to slow velocity of money but it only works with actual market effects in play.

We aren’t going to cut our debt just because it gets more expensive. We’ve proven that.
Posted by Hand
far side of the moon
Member since Dec 2007
2089 posts
Posted on 6/24/25 at 12:45 pm to
Should be:

R* + inflation reading(s) = ~3.50%
Taylor Rule(s) = ~3.50%

Instead:

R* + ATSIX "Expectations" = ~4.50%

Add to that Gundlach's view of Wu and Xia's ‘What was the effect of quantitative easing?’ whereas every $200B of addition and subtraction via quantitative easing and quantitative tightening is equivalent to about another 25bps. About 2.2T in roll-off so that's another 275bps in shadow Fed Funds rate hikes.

So we should probably be closer to 3.50% but he has us effectively running closer to 7.25%?
Posted by beaverfever
Arkansas
Member since Jan 2008
35398 posts
Posted on 6/24/25 at 1:24 pm to
All because his base case is stagflation (which is exceptionally rare).
Posted by BottomlandBrew
Member since Aug 2010
29222 posts
Posted on 6/24/25 at 2:23 pm to
I think this is the one thing you and I agree on.

Drop it a little in July. See where June and July data comes in at, then drop more in September if data looks good.
Posted by PerplenGold
TX
Member since Nov 2021
2215 posts
Posted on 6/24/25 at 3:32 pm to
quote:


Should be:

R* + inflation reading(s) = ~3.50%
Taylor Rule(s) = ~3.50%

Instead:

R* + ATSIX "Expectations" = ~4.50%

Add to that Gundlach's view of Wu and Xia's ‘What was the effect of quantitative easing?’ whereas every $200B of addition and subtraction via quantitative easing and quantitative tightening is equivalent to about another 25bps. About 2.2T in roll-off so that's another 275bps in shadow Fed Funds rate hikes.

So we should probably be closer to 3.50% but he has us effectively running closer to 7.25%?


Posted by Auburn80
Backwater, TN
Member since Nov 2017
9598 posts
Posted on 6/25/25 at 2:33 pm to
Do Congressional Hearings ever resolve anything other than give politicians soundbites to use?
Posted by BottomlandBrew
Member since Aug 2010
29222 posts
Posted on 6/25/25 at 2:51 pm to
quote:

Do Congressional Hearings ever resolve anything other than give politicians soundbites to use?


No.
Posted by cadillacattack
the ATL
Member since May 2020
9564 posts
Posted on 6/25/25 at 3:42 pm to
Blah blah blah … blah blah blah …
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