The Pope is touring North America this week, promoting a variety of interventionist “solutions” to global warming, poverty, and more. But a far more powerful religious figure, Janet Yellen, continues to pull the levers of the global financial system.
Jeff Deist and Bill Bonner consider various ugly endgames for the US dollar.
There’s much debate over how the Fed determines interest rates. Many pundits seem to assume that central banks dictate interest rates to the market. In fact, central banks mostly affect interest rates indirectly through their power to change the money supply.
In spite of past assurances to the contrary, our central planners at the Federal Reserve emerged this week to announce that their zero-interest-rate policy will continue. Is the world coming to realize that the emperors have no clothes?
Perhaps no economic pronouncement in history has been anticipated, discussed, predicted, dissected, and reported like the Federal Reserve’s momento
Whether it’s the aftermath of the Greek crisis or the ongoing migrant and refugee crisis, the nation-states of Europe, and the EU government, have plenty to worry about. Meanwhile, the world braces for next week's Fed meeting.
The Fed is talking about raising interest rates, but it knows that any move in that direction is likely to cause a recession and more economic pain. But it also knows it can't keep forcing down interest rates forever.
