As expected, the Federal Reserve Board at its just-ended two-day monetary policy committee meeting has decided to maintain the interest rates it controls at current levels.
The current Board directed rate for Fed funds is the target range of 0.0% and 0.25%.
This is a developing story return to this post for updates.
UPDATE 1
From the Fed statement:
The Committee expects to maintain this target range until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals.
UPDATE 2:
All current voting members of the FOMC voted in favor of the massive Fed money pumping:
Voting for the monetary policy action were Jerome H. Powell, Chair; John C. Williams, Vice Chair; Michelle W. Bowman; Lael Brainard; Richard H. Clarida; Patrick Harker; Robert S. Kaplan; Neel Kashkari; Loretta J. Mester; and Randal K. Quarles.
CONCLUSION:
The Fed has signaled with its statement that the mad, irresponsible money printing will continue. This is not going to end well. The dollar will crash on foreign exchange markets and we will experience in coming months in the United States a very strong advance in price inflation, certainly at the 5% level as measured by government indexes but double-digit price inflation can not be ruled out at an extended point.
Hug your gold coins.
The price of gold will climb at a multiple of the price inflation advance.
-RW
Hilariously, precious metals prices immediately spiked downward a couple percentage points on the news. I happily went in and bought what I could.
ReplyDeleteDavid
You don't think all the other central banks will take the opportunity to print more too?
ReplyDeleteI personally don't anticipate the dollar crashing compared to other fiat currencies. Maybe I am wrong though. They got the whole world in their hands.