Powell reluctantly turned on the television, Biden’s press conference underway.
“Covid-19 has created a lot of economic complications, including rapid price increases across the world economy. People see it at the gas pump, the grocery stores, elsewhere,” said America’s president, panicked, but careful, staying on script. “The Federal Reserve provided extraordinary support during the crisis for the previous year and a half,” continued Biden.
“Given the strength of our economy and pace of recent price increases, it’s appropriate – as Fed Chairman Powell has indicated – to recalibrate the support that is now necessary.”
Stock markets extended losses, the most speculative assets suffering horribly. “The critical job of making sure elevated prices don’t become entrenched rests with the Federal Reserve, which has a dual mandate: full employment and stable prices,” explained Biden, carefully pre-apportioning blame to the Fed Chairman for the Democrat’s House and Senate losses this coming November.
Powell drifted back to simpler times, in 2018, when his job was easy, but his boss would berate him. “I’m just saying this: I’m very unhappy with the Fed because Obama had zero interest rates,” Trump told the WSJ in October 2018, “Every time we do something great, he raises the interest rates.”
Powell considered how profoundly times had changed. In his 2018 hiking cycle, it took 225bps of rate hikes to tank stocks.
But that was before Covid-19, economic collapse, and vast deficits, funded by the Fed. It was before inequality soared to levels previously undreamed of. Before supply chains were impaired, auto and house prices surged, inflation hit 7%, and real wages contracted.
And it pre-dated the breathtaking hyper-financialization of the US economy, which meant that even talking about rate hikes now produces wild market swings.
Such is the precarious state of financial markets that their prices are falling sharply because the Fed is verbally tightening, even as it is still actually easing. And Powell quietly wondered what his new boss would demand he do, if markets were to plunge, while inflation remains near 40yr highs.
The boss says lets go to my basement in Maryland everything is stress free there.
Biden is responsible for the total chaos in America. I believe it is part of his and Obama’s plan to turn this country into a Socialist state.
Biden’s motto is America LAST
Biden is a childish buffoon! He blames his failures on everyone and everything else! This is what a child does!
This is what the dems have been doing for a while, blame other for what you’ve been doing.
Yeah… A kid’s “I don’t know! Wasn’t me!!” defense comes to mind. Although in Biden’s case, it’s looking more and more like that statement is true. Maybe Obama’s statement that he’d like a third term and do it all from his basement was a Freudian slip.
Biden is a complete narcissist, such typical behavior to blame everyone else… so he can go suck a cone… as I quote Kid Rock WE THE PEOPLE, GO BRANDON GO
This poor excuse for a leader refuses to take the blame for anyone of his screw ups which there’s plenty of,he continues to put the blame on everyone else,this lame duck must truly believe the people of the country are idiots,while we do have plenty who believe every word he says (the libtards) the rest of us know these things fall entirely on his lap and his administration
Not his fault……
Biden is a childish buffoon! He has done nothing but try to destroy this country!
Why does anyone in America want a president that cannot admit he made mistakes and needs to correct the situation? Biden is corrupt. He is so arrogant he cannot even be honest to himself. He is completely at fault for inflation and rising costs, the Fed had no way to react to Biden’s socialistic policies, Afghan debacle, and border crisis! Biden put America back into the hands of foreign Oil producing countries, and that started all of the other issues. This is the issue the GOP should put in front of American’s, why do we want to be dependent on a foreign country for anything, especially oil? The Islamic states publicly act one way but behind our backs they have knives and are not afraid to use them.
“Covid-19 has created a lot of economic complications, including rapid price increases across the world economy.”
Sorry, senile, brain-dead Joe. Covid didn’t do that. Your stupid, destructive, anti-American policy choices did that.
I feel like I`m in the Twilight Zone. A family gets released from jail after their conviction. They are going after the people who put them behind bars. If our government will let the criminal element out of jail for heinous crimes? Who needs them. This is 10 year old thinking. Once in a great while the elite get swallowed up in the chaos they have created. No more cocaine and ice cream for Biden until he cleans his mistakes up.