U.S. economy – Page 12 – XtremeCuztoms

Fed Pivot Is Not an Investment Thesis

Commentary In a recent Bloomberg article, a group of economists voiced their fears that the Federal Reserve’s inflation fight may create an unnecessarily deep downturn. However, the Federal Reserve doesn’t create a downturn due to rate hikes; it creates the foundations for a crisis by unnecessarily lowering rates into negative territory and aggressively increasing its…

Commentary The first time I heard the phrase “pink collar worker” was two days ago from The Atlantic, which published fascinating data on what it describes as mass burnout among nurses, childcare workers, teachers, and other women-dominated professions. The phrase itself dates from the 1970s—the female version of “blue collar” one supposes—and I’m oddly surprised…

When Will the Fed Blink?

Commentary Let’s understand the significance of the Bank of England’s announcement that it would start buying $65 billion in UK public debt. It represents an about-face on the previous policy of using central bank power to sop up excess liquidity in hopes of getting inflation under control. It’s like crossing a river halfway and then…

Revised GDP Data Confirm US Economy Fell Into ‘Technical Recession’ in First Half of 2022

The U.S. economy contracted for two consecutive quarters this year, according to a revised government report, which technically meets the criteria for a recession. The third and final update was released on Sept. 29 by the Bureau of Economic Analysis, as rising inflation and higher interest rates weighed on consumer spending. U.S. gross domestic product…

Hey, Recession Isn’t So Bad, Says the Washington Post

Commentary You know it’s going to happen. The Biden administration spent months saying there will be no recession. When it finally came in the technical data, they said that it’s not true. It’s only a matter of time before they admit it is here. At that point, they will claim it’s a good thing. This…

The Reason That Good Economic News Is Bad for the Market

Commentary Many of you may have noticed a recent trend whereby good economic news causes the stock market to fall. Theoretically, higher than expected gross domestic product (GDP), or lower than expected unemployment, would be good for the economy, corporate earnings, and the stock market. During normal times, and over the long run, that’s true….

The Fed Fears Something Worse Than a Bear Market

Commentary The strategy of buying the dip went on for months, with unrelenting hope that this was all surely temporary. The economy was opening. Congress was spending. The Fed surely would not crash the markets before the November election. All will be well. No reason to panic. Not even weekly warning by the Fed would…

As the Economy Collapsed, Why Were Economists Silent?

Commentary Public health as a profession has fallen into dispute but it is hardly the only one. The economists bear responsibility too, for it is they who should have been aggressive, open, and loud about every aspect of the pandemic policy response. And yet, they were largely silent as markets were wrecked, Congress blew up…

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Tag: U.S. economy

Fed Pivot Is Not an Investment Thesis

The Pink-Collar Worker Crisis

Say Goodbye to the Labor Shortage