Last time the FED pulled off “Soft Landing”.

[FireWeatherMet]

Last time Fed pulled off a “Soft Landing”
https://apple.news/A-p7HXPf8TYC-aLP8Jvvdcw

 

[Boghie]

And, in 1994 the Treasury was not flooding the econmy with trillions of dollars.

The FED needs to fight that inflation by pulling those trillions out of the system. If more gets shoved in, the rates - or duration of 'high' interest rates - have to go up/on.

BTW, only folks spoiled with post-2008 interest rates can really consider a FED rate of 4.5% 'high'. That is a NORMAL FED rate. Yowser

 

[weatherweenie]

Similar things with respect to mortgage rates. 3% was not a remotely good or normal level. I'm thrilled to have a 3% rate, but it is completely unrealistic.

To undo the effect of the trillions of dollars pumped in by the Feds is going to require a great deal of pain, IMHO.

And, in 1994 the Treasury was not flooding the econmy with trillions of dollars.

The FED needs to fight that inflation by pulling those trillions out of the system. If more gets shoved in, the rates - or duration of 'high' interest rates - have to go up/on.

BTW, only folks spoiled with post-2008 interest rates can really consider a FED rate of 4.5% 'high'. That is a NORMAL FED rate. Yowser