{"id":61421,"date":"2022-01-11T10:35:36","date_gmt":"2022-01-11T15:35:36","guid":{"rendered":"https:\/\/olduvai.ca\/?p=61421"},"modified":"2022-01-11T10:35:36","modified_gmt":"2022-01-11T15:35:36","slug":"peter-schiff-the-fed-cant-do-what-its-saying-it-will-do","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=61421","title":{"rendered":"Peter Schiff: The Fed Can\u2019t Do What It\u2019s Saying It Will Do"},"content":{"rendered":"<h3><a href=\"https:\/\/schiffgold.com\/peters-podcast\/peter-schiff-the-fed-cant-do-what-its-saying-it-will-do\/\">Peter Schiff: The Fed Can\u2019t Do What It\u2019s Saying It Will Do<\/a><\/h3>\n<div class=\"blog-big-photo\"><a class=\"prettyphoto\" title=\"Peter Schiff: The Fed Can\u2019t Do What It\u2019s Saying It Will Do\" href=\"https:\/\/schiffgold.com\/wp-content\/uploads\/2020\/07\/fed-seal.jpg\" rel=\"prettyPhoto\"><img decoding=\"async\" class=\"blog-featured-big-photo lazyloaded\" src=\"https:\/\/schiffgold.com\/wp-content\/uploads\/2020\/07\/fed-seal-1024x575.jpg\" alt=\"\" width=\"100%\" data-src=\"https:\/\/schiffgold.com\/wp-content\/uploads\/2020\/07\/fed-seal-1024x575.jpg\" \/><\/a><\/div>\n<p>The\u00a0<a href=\"https:\/\/schiffgold.com\/commentaries\/the-fed-released-its-december-fomc-minutes-i-have-questions\/\">Fed FOMC minutes came out<\/a>\u00a0last week, signaling tighter monetary policy. Peter Schiff talked about the minutes in his podcast, arguing that the Fed can\u2019t do what it says it\u2019s going to do. If it does, it will crash the markets and the economy. And it won\u2019t lower inflation.<span id=\"more-31179\"><\/span><\/p>\n<p>The Fed minutes were widely viewed as even more hawkish than\u00a0<a href=\"https:\/\/schiffgold.com\/commentaries\/peter-schiff-a-dove-doesnt-change-its-feathers\/\">the messaging coming out of the December meeting<\/a>. Peter said the minutes even surprised him a bit. But he reminded us that when he\u2019s talking about a \u201chawkish\u201d Fed, he\u2019s not really talking about hawks.<\/p>\n<blockquote><p>They\u2019re extinct. They may as well be the dodo bird at the Federal Reserve. Everybody is a dove. We\u2019re just talking about degrees of dovishness. And so, the Fed was less dovish than the markets had expected.\u201d<\/p><\/blockquote>\n<p><iframe loading=\"lazy\" class=\" lazyloaded\" title=\"YouTube video player\" src=\"data:image\/gif;base64,R0lGODlhAQABAAAAACH5BAEKAAEALAAAAAABAAEAAAICTAEAOw==\" width=\"560\" height=\"315\" frameborder=\"0\" allowfullscreen=\"allowfullscreen\" data-src=\"https:\/\/www.youtube.com\/embed\/SfuXEn5bLCM\" data-mce-fragment=\"1\"><\/iframe><\/p>\n<p>The minutes indicated we could now see four interest rate hikes this year. Three hikes were widely anticipated after the meeting. That would push rates up to about 1% by the end of the year. In the big scheme of things, and against the backdrop of the current economic data, that\u2019s not a lot.<\/p>\n<blockquote><p>You cannot describe those itsy-bitsy moves in any way \u2018hawkish.&#8217;\u201d<\/p><\/blockquote>\n<p>But comments regarding quantitative tightening \u2013 shrinking the balance sheet \u2013 really roiled the markets.<\/p>\n<blockquote><p>In other words, they\u2019re going to go from being a massive buyer in US Treasuries and mortgage-backed securities to a seller of those securities. And that\u2019s what really spooked the markets. Because that sent the bond markets tanking.\u201d<\/p><\/blockquote>\n<p>Yields on the 10-year Treasury hit a 52-week high and briefly pushed above 1.8%.<\/p>\n<p>If the Fed is going to shift from buying bonds to selling, clearly, that will put heavy pressure on the bond market. But Peter said there is one thing that the markets don\u2019t seem to comprehend.<\/p>\n<p>\u2026click on the above link to read the rest of the article\u2026<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Peter Schiff: The Fed Can\u2019t Do What It\u2019s Saying It Will Do The\u00a0Fed FOMC minutes came out\u00a0last week, signaling tighter monetary policy. Peter Schiff talked about the minutes in his podcast, arguing that the Fed can\u2019t do what it says it\u2019s going to do. If it does, it will crash the markets and the economy. [&hellip;]<\/p>\n","protected":false},"author":1,"featured_media":0,"comment_status":"closed","ping_status":"open","sticky":false,"template":"","format":"standard","meta":{"_monsterinsights_skip_tracking":false,"_monsterinsights_sitenote_active":false,"_monsterinsights_sitenote_note":"","_monsterinsights_sitenote_category":0,"footnotes":""},"categories":[2],"tags":[303,534,963,13351,8701,8625,18779,3650],"class_list":["post-61421","post","type-post","status-publish","format-standard","hentry","category-economics","tag-fed","tag-monetary-policy","tag-peter-schiff","tag-price-inflation","tag-qt","tag-quantitative-tightening","tag-schiffgold","tag-us-federal-reserve"],"_links":{"self":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/61421","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=61421"}],"version-history":[{"count":1,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/61421\/revisions"}],"predecessor-version":[{"id":61422,"href":"https:\/\/olduvai.ca\/index.php?rest_route=\/wp\/v2\/posts\/61421\/revisions\/61422"}],"wp:attachment":[{"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=61421"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Fcategories&post=61421"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/olduvai.ca\/index.php?rest_route=%2Fwp%2Fv2%2Ftags&post=61421"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}