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Bring On The Powell Put

November 27th, 2018 · No Comments

  • From the President down, with markets bleeding, market observers are clamoring for the Fed to lower rates – or at least not raise them further.
  • There are some economists, like Martin Feldstein, who argue that the Fed should simply ignore this noise and keep on raising rates.
  • The thought is that rates should be considerably higher so the Fed can lower rates when the next recession arrives.
  • While we’re somewhat in the middle in this debate, there are more fundamental issues at stake – like what are the role and limits of the Fed?

Source: Bring On The Powell Put | Seeking Alpha

Tags: Economic Policy