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Why does the Fed keep pumping?


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#1 brucekeller

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Posted 21 April 2021 - 10:14 PM

They say it's because of deflationary forces. What?  Are they still fighting something from the 2008 crash? Maybe they are talking about wages? /s :-P

It's a little annoying that the Fed has to keep using QE all the time. They didn't need to do it for the dotcom bubble bursting, but now it's just QE to the moon. It would be one thing if it was just stocks, but it bleeds over into housing and rent and makes everything unaffordable for a large percentage of the population.  Have they just been hijacked by profiteers in the banking industry and added a 3rd mandate of extreme profits? Is the only way companies are not going to do massive layoffs dependent on stocks constantly going up? 



#2 gilford

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Posted 21 April 2021 - 10:44 PM

Clearly they know what they are doing. It does seem like they know they have to keep pumping to avoid a down cycle which would be brutal give the air in the system. Who wants to be blamed for a depression? As long as wages dont rise they can keep the game going. Conspiracy folks will tell you they are setting up the great reset or just lining the pockets of asset holders. Personally I think they are doing exactly what most of us would do in their shoes. The mistake was made in 2009. Too late to fix that now.

#3 andr99

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Posted 22 April 2021 - 04:04 AM

why the fed keeps pumping ? Maybe because they have no other choice left....


forever and only a V-E-N-E-T-K-E-N - langbard