Ep. 30 - What Drives the Fed and What's Their Next Move? with Alex Stewart
Inflation, interest rates, recession, unemployment—what do all these buzzwords have in common? They’re all affected by decisions the Fed makes! In this episode, do some digging to reveal the Federal Reserve and its impact on the US economy. We’ll analyze news headlines surrounding the Fed and its decisions, aiming to break down barriers so you can get a clearer picture of what's truly happening with the economy and understand the underlying factors that come with moderating an economy that is too “hot” or inflationary.
Tune in now to gain insights that will simplify the complex subject of what drives the Fed and what their next move will likely be.
[00:01 - 09:28] Breaking down the Fed funds rate and how it impacts the economy despite what the news would have you believe
[09:29 - 16:16] Jerome Powell's lack of real-world experience causes issues with Federal Reserve decisions and unintended market effects
[16:17 - 23:42] Exploring the dark origins of the Federal Reserve— ‘A lender of last resort’ and possible Ponzi scheme
[23:43 - 31:01] Quantitative Easing: delayed data, worries of a looming recession, and forecasts based on historical data
[31:02 - 37:34] Credit card debt hits an all-time high in US history, leading to a potential driving force for the Fed
Quotes:
"Sometimes doing the right thing is the hard thing." - Quinton Harris
"The Federal Reserve was created under the notion of the eight richest people in America after The Bank Run came together and said, ‘how can we find a way to protect our money.’ That's originally where it started." - Quinton Harris
"History doesn't necessarily repeat itself, but it teaches us a lot." - Quinton Harris
"Knowledge is power in our industry." - Quinton Harris
Resources Mentioned:
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