💥The Fed's rate cuts may lead to a global economic storm.
🔥The Fed fears inflation and raises rates to control it.
⚠️Cutting rates further could indicate the Fed's fear of recession.
💡The Fed's lack of independence from the government is concerning.
💰Massive money printing during the pandemic has led to high inflation.
Why does the Fed raise rates to control inflation?
—The Fed fears that high inflation could lead to voter and political unrest, potentially threatening its independence.
What do rate cuts indicate about the Fed's concerns?
—Rate cuts suggest that the Fed is more afraid of a recession than of inflation, indicating a worrying economic situation.
Why is the Fed's lack of independence concerning?
—The Fed's dependence on government policies undermines its ability to make independent decisions that are best for the economy.
What has caused the high inflation during the pandemic?
—Massive money printing by the Fed and the government's unprecedented stimulus measures have contributed to the high inflation rates.
What are the potential consequences of the Fed's actions?
—The Fed's rate cuts and lack of independence could lead to a global economic storm and prolonged periods of high inflation.
00:00Economist Peter St warns of a global economic storm caused by the Fed's rate cuts.
01:30The Fed raises rates to control inflation, fearing voter and political unrest.
03:45Cutting rates further suggests the Fed's fear of recession.
05:15The Fed's lack of independence from the government is concerning.
07:30Massive money printing during the pandemic has contributed to high inflation.
