US interest rates raised for first time in three years

This is basically self inflicted, as usual messing up in the Middle East always ends up with consumer paying the price for their ruler's stupidity

"Oh no, my drinking water tastes like crap after I pooped in the well"

This administration wants lower rates. Also this administration does everything it can to increase inflation such as tariffs and starting another endless war in the middle east.

The government has fully lost control of the long-term Treasury yield - this is their attempt to bring it back under control.

I expect to see the president fire the Fed, nationalise it and make the rates negative, collapsing the economy.

Dupe: https://news.ycombinator.com/item?id=49731356

And the dot plots suggest no rate decreases until 2028.

Meanwhile Bessent is buying long dated bonds and selling short dated, betting the yields will go down.

Dear US, try not to take the rest of the world with you when. You implode.

Incoming unhinged POTUS rants and demands in 3…2…1…

But you know what, I’m glad to see that the fed is still operating independently. The doomer in me thought they’d fold to Trump, especially right before the midterms.

The only reason we have to choose between inflation and expensive loans is corporate profits can't ever go down. It's perfectly possible to freeze margins and ban increasing prices unless a business proves their costs went up, but to enforce that you would need to a) have a competent administration and b) not be scared to piss off your billionaire donors.

Allowing stock buybacks and not taxing dividends heavily is a choice. Not breaking up monopolies is a choice. Inflation comes down to high oil prices and corporate greed powered by weak competition. Starting wars is Trump's fault. Subsidizing big oil instead of setting price controls is also his choice, as is doing everything he can to slow down EV adoption that would reduce demand.