Comment by arrosenberg
15 days ago
> I think they shouldn't unless they're being disingenuous and politically motivated (push just enough to make the entire Trump mandate an unending crisis until Democrats get back in power).
They've been saying since the Biden administration they are going to keep raising rates. If the Trump regime's choices drive us into an unending crisis, bailing him out with rate cuts would be the politically motivated choice. Continuing to raise rates is just sticking to principles.
Not true. The Fed did lower rates leading up to the election, seemingly to postpone a crisis until Democrats got elected (which didn't happen).
https://www.reuters.com/markets/us/federal-reserve-expected-...
That’s a speculative article that was wrong. I was also somewhat misremembering JPow saying he wouldn’t cut rates after the inauguration as him saying he was going to raise them. Rates changed a small amount in September, then they did two big cuts after the election. Not really evidence of political bias in any case.
The article does not say that....
The gist is that Republicans are going to blame the Fed of playing politics when I terest rates are lowered, and blame Biden for when interest rates rose. Rates go up, Bidens fault, rates go down - politics. That is the republican talking point. The article ascribes no direct motive but says the reduction in rates is due to the fed claiming victory on inflation. Which, was wel down and approaching target when the fed started cutting rates.
It is ironic that an article that says (paraphrasing) "here is what the political talking point would be", be used as __evidence__ for that talking point.