I’ve gone full Husss - the Fed is engineering a depression

We’re already in a supply side recession, which we’ve never had before. The Fed has no normal tools to handle a supply side recession. This won’t get better until blue collar workers go back to work and China re-opens completely. China’s manufacturing closures are being done to manipulate the US markets and force us into recession. Then consider that we have a massive blue collar labor shortage, which won’t get better until we pay them significantly more, or until the economy destroys the “gig economy” that they’re currently sustaining themselves with. The Fed also has to kill inflation since it’s wrecking the middle class and lower class and has potential to kill US currency.

The Fed is also convinced that there is too much money being held by the lower and middle class, driving inflation. So now they want to separate you from your money and kill the gig economy to eliminate the supply side labor issues

So here’s the Fed’s plan:
- jack up interest rates until inflation is killed, not just halted or reduced. Inflation will be at 3.5% before the fed considers not jacking up rates, and they’ll probably maintain rates until our average inflation over some period is 2-2.5% (their long term target), meaning they’ll overshoot to burn the average faster
- plunge the economy from recession to depression to force people back to traditional jobs at normal labor prices, eliminating supply side concerns (besides China) and preventing more labor inflation - businesses will survive due to the normal demand still being present, but kill the heavily consumer driven and small business gig economy
- housing and consumer credit bubbles will push consumers over a cliff, particularly the gig economy ones, and ensure they’re forced to go back to work

Some evidence:
This week the Fed noted that the economy is looking better and jobs are still running hot - then the betting odds for another 75 bp hike soared. The Fed admitted that the soft landing won’t kill inflation and they need to burn the soft landing. We’re already in a recession, that means time for a depression
The Fed has also continually insisted that people have too much money in their pockets
One of the Fed chairs said this week that they won’t consider stopping hikes until 3.5% inflation in their core numbers
The housing bubble is getting a slow deflation already - check inventories vs a few months ago, and look at price adjustments. Flippers are being murdered right now and many will be underwater soon if not already. That gig will be dead soon
Consumer credit bubble is exploding - consumer credit has seen massive leaps recent month or so. Americans are spending way too much on housing and gas

Technically the Fed believes they are engineering a demand side recession to combat the supply side recession, evening everything out and bringing us back to pre-Covid. But in reality, 1+1=2, and the double recessions will trigger a depression and wreck our economy long term