We should be happier that Lagarde has a job than to have our savings protected.
Marry the house, date the rate.
The title above is from this October 2019 Christine Lagarde quote: “We should be happier to have a job than to have our savings protected.”
People(?) like Lagarde are an existential threat to most of us. The Jeff Epstein WEF Davos Crowd is often quite clear on their long-term goals.
We are colonized by wankers (Nous sommes colonisés par des branleurs):
February 2021: There is no risk of overheating in the euro zone economy and no risk of a lasting pick up of inflation, European Central Bank policymaker François Villeroy de Galhau said on Monday.
October 2021: There is no reason for the European Central Bank to increase rates between now and the end of 2022 as euro zone inflation is expected to fall back below the ECB's 2% target, Bank of France governor Francois Villeroy de Galhau said on Tuesday.
June 2022: “Inflation is not only too high, but also too broad,” Villeroy said. “This requires a normalization of monetary policy -- I say normalization and not tightening.”
No accountability, ever. Here’s Down Under:
Today: Australian Treasurer Chalmers Sees Inflation ‘Problem’ Worsening Reserve Bank of Australia Governor Philip Lowe reiterated last week that Australians should gird for higher borrowing costs, with inflation expected to accelerate to 7% in the final three months of the year and begin moderating only in early 2023.
November 2021: “we’re very confident inflation is going to be around 2.5 per cent and stay there” - Philip Lowe, RBA Wanker (It’s now officially 5.1%)
March 2021: Interest rates will stay low until wages grow, says RBA governor Philip Lowe
Rising wages are the only manifestation of inflation central banks ever seem to really care about.
“Assuming that the pace of disposals stays at the announced level, the Fed could shrink its balance sheet by around USD1,600 billion over eighteen months.”
Guess what year this was written?
…the housing market is roaring, driven in part by rock-bottom interest rates and a relatively low number of properties for sale. In a flashback to the whirlwind days of the dot-com era, multiple offers of 10 or more have become increasingly common in the last few months, and desirable homes are selling within days -- sometimes for $300,000 or more above the asking price.
2004.
“Homeowners, landlords and investors spooked as end of ultra-cheap debt sends prices sliding.”
That’s it right there, “ultra-cheap debt” - which creates asset bubbles, which eventually blow up, causing unpleasantness. All this due to a decade-plus of “horrific, politically motivated, easy way out, global monetary policy," to quote the great @DeepThroatIPO.
You don’t find some of this rate hike posturing a little bit pathetic, to the extent that the US CPI print was I think 8.6%, so they’re raising rates from whatever it was, half a percent, by 75 basis points, so a one-handle for Fed Funds? One is significantly less than eight, and eight probably isn’t the real figure anyway. And the real problem here is not so much access to credit but the fact that forty-percent of all the dollars ever printed were printed in the last two years. It’s all just nonsense. It’s a game. - Tim Price
St. Louis Fed Goofball Jim Bullard, in Zurich on Friday (via @GrantsPub)
It is a little early to have this debate about recession probabilities in the U.S. . . This is in the early stages of the US recovery -- or US expansion, we are beyond recovery. It would be unusual to go back into recession at this stage.
Here’s a problem no one reading will have: According to a source familiar with Gulfstream aircraft, the G500s and G600s have a glitch in their computer software that can send these planes into a nosedive if their pilots try to land in winds stronger than 15 knots [about 17mph].
As @GrantsPub noted: “a single four-hour private flight produces eight tons of C02 emissions, equivalent to a full year’s worth of such pollution from the average citizen".
Remember that the next time someone who goes to the WEF Davos thing scolds you.
I'm very sorry you fell victim to the Twitter thought police, but I gotta say these longer form pieces are consistently spectacular, thank you!
Likewise, thank you Rudy.