suppose that had something to do with the record-low interest rates over the past 10 years. believe he addressed that as part of the bubble aspect, with an increase in rates possibly being problematic.
now, interest rates have been raised by the fed twice since he took office, and also once last December, after Trump's election (Obama was still president at the time). so far, so good, but something to keep an eye on for sure.

yeah yeah a couple of 1/4 bumps. he knows to effectively mitigate the bubble he needs to crank inflation at some point, but that would really fuck up gains. my bet? he's gonna pump that bitch up until he gets out of office and then sell out, bond up, and let the next poor POTUS take the blame. I'm no fool who thinks he can't maintain the bubble, but to think what he's doing now is anything but inflating it seems silly to me.

moreover, i just want him to address it. we haven't had a business president in my life and it would be nice to actually get a deeper explanation of the stock market from the govt, in the primaries he showed a flash of that when he addressed the bubble like no one else would. then he got elected and became an insider rather than the outsider. Whether he is right or wrong i could care less about, to keep touting the stock raise stats without touching the bubble is plain cowardly.

This post was edited by thesnipa on Nov 30 2017 12:32pm

its not going to be raised by whole percentage points. .25% bumps/decreases have been standard for some time in the past couple decades, at most .50% (with 2008 the exception due to the mess occurring then) https://www.thebalance.com/fed-funds-rate-history-highs-lows-3306135 several more of these .25% over his first term to get the rate to 2.0%+ though would test the strength of this market

bold: lol

Hopefully the Fed doesn't have to pull a Volcker to prevent a burst.

at the bold, i expected a LOT of things from Trump that would shatter norms, so far it's just been uncharacteristic tweets for a sitting POTUS and a lot of regular right politics.

The biggest issue looming over the economy (and one pretty much completely ignored by the government and financial media) is the sheer amount of money that has been pumped into it by the Fed (via QE). The only thing that is going to get that money out is by hiking rates, and the only reason they haven't had to hike rates (excessively) is due to the abnormally high velocity of said money supply. To keep velocity high (and prevent an inflationary crash), they have to keep pumping up that balloon. At some point, it is going to break, and the resulting crash is going to be UGLY.

the fed has actually started reducing its balance sheet recently. they are actually doing a good job at the moment, much better than the ecb or the bank of japan.

https://www.washingtonpost.com/news/wonk/wp/2017/09/20/in-sign-of-u-s-economys-strength-fed-to-start-reducing-4-5-trillion-balance-sheet/




This post was edited by Black XistenZ on Nov 30 2017 07:39pm

It's a start, but there's SO far to go.

Clueless doubletalk after eight tears of the same under Obongo.

Dafuq you going on about? I didn't support this shit under Obama, or Bush.

And I'm not blaming Trump for any of this. It's just an offshoot of the discussion.

buck has to stop somewhere for the fixing to start. its been a messy near couple of decades, to see any progress on that front is welcome