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He Hates These Dots
Jerome Powell spoke Monday at a NABE conference in Nashville, where he said a whole bunch of nothing.
I hope readers will forgive the drab assessment. The problem -- one problem, there are plenty -- with incessant Fed communications is that in the absence of material events between policy gatherings, there's only so much to say above and beyond what's communicated in the FOMC statements, projections and dot plot.
As I complained Monday on social media -- where I wouldn't be if I cared as much
“If the Fed isn’t enamored with the market’s dot plot obsession, they could just stop publishing the damn thing.”
Oh my dear god, NO! American hedge funds and other speculators need those dots. In fact, they should be updated weekly, not eliminated. Let’s help keep our hedge funds great!!!
Building upon that patriotic imperative, it is incumbent upon the Fed (and everyone else) to help support and further nurture the finance industries. A glance at a table like this shows just how wrong-headed Trump & Biden/Harris have been when focussing their energy on shoring up US manufacturing.
Industry Share of GDP
Finance, insurance, real estate, rental, and leasing 20.7%
Professional and business services 13%
Government 11.4%
Manufacturing 10.3% (only HALF of finance)
“die rate cutter!”