{"id":61570,"date":"2022-01-20T08:36:27","date_gmt":"2022-01-20T13:36:27","guid":{"rendered":"https:\/\/olduvai.ca\/?p=61570"},"modified":"2022-01-20T08:36:27","modified_gmt":"2022-01-20T13:36:27","slug":"peter-schiff-the-fed-made-this-bed-and-now-we-have-to-lie-in-it","status":"publish","type":"post","link":"https:\/\/olduvai.ca\/?p=61570","title":{"rendered":"Peter Schiff: The Fed Made This Bed and Now We Have to Lie In It"},"content":{"rendered":"

Peter Schiff: The Fed Made This Bed and Now We Have to Lie In It<\/a><\/h3>\n
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Inflation is running hot. Economic data is running cold. Stocks and bonds are under pressure. The Fed is scrambling. In his podcast, Peter Schiff talked about the trajectory of the economy. He said we\u2019re on the cusp of the most obvious crisis that virtually nobody saw coming. The Federal Reserve made this bed. Now we have to lie in it.<\/span><\/p>\n

Stocks and bonds are off to a rough start in 2022 with the expectation of rate hikes on the horizon. In fact, many analysts now think that the Fed could raise interest rates five times in 2022. And some also think the first hike in March could be 50 basis points.<\/p>\n

Hedge fund manager Bill Ackman called a .5% rate hike \u201cshock and awe.\u201d<\/p>\n

Peter called this \u201cridiculous.\u201d<\/p>\n

It\u2019s not shock and awe. When you\u2019re talking about 7% inflation, a move from zero to 50 basis points is still recklessly low interest rates. And for a Fed that\u2019s actually serious about fighting inflation, raising interest rates to 50 basis points is not nearly enough for the task at hand.\u201d<\/p><\/blockquote>\n