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Re: Federal Reserve guy is not nuts

By: Cactus Flower in ALEA | Recommend this post (0)
Fri, 10 Apr 20 12:19 PM | 38 view(s)
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Msg. 35439 of 54959
(This msg. is a reply to 35438 by Gsratio)

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Debt is not evil. It's a tool. It's an attractive tool when interest rates are extremely low. Great time to build the next Hoover Dam and any other project for which the return is greater than the rate of interest.

Once the virus is under control, I'm hoping a new government will deliver a whole lot of renewable energy. The benefit will last for the entirety of human history. And pay whatever the negligible interest is.

Plenty of labour available.


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The above is a reply to the following message:
Re: Federal Reserve guy is not nuts
By: Gsratio
in ALEA
Fri, 10 Apr 20 11:55 AM
Msg. 35438 of 54959

Powell has given away the Fed's independence,& Trump
is now free to print as many Trillions as he needs
to get reelected.
The stock market is now at historic all time highs
in terms of PE,& will go even higher before the
election.

Your sane person just gave Trump another 4 more
years!

"The real question is not how far will they go, that is unlimited, but will Trump ever allow them to stop?

Does Trump think he can ram the stock market to DJIA 40,000 despite what fair value might say it is? And will he demand the Fed "print" the mother of all bubbles to get re-elected?

It is now legal, and Trump now has the authority to do exactly this. The Fed has given away its independence to the Administration. The only thing that would stop him is discipline and restraint ... two words not often associated with Trump."


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