The Federal Reserve signals 3 Rate Increases in 2022 | Schaftlein Report
The Federal Reserve signals 3 Rate Increases in 2022 | Schaftlein Report
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Guest: Dr. Michael Busler – Economist and Professor of Finance Stockton University
Topics:
1) The “Taper” is reduced to $60B of Bond purchases in January from $90B this month then winding down the program by the end of March
*Dr. Michael Busler provides analysis along with the Pitfalls and Opportunities of the policy shift. The ECB increases Bond Purchases?
2) The stock market roars ahead after the announcement – Easy money ending and clarity of the rate hikes or is there something else at work here
*Easy money is the drug the stock market craves
3) Wholesale PPI up 9.8% while the 10 Year note hovers near 1.50% – What does the bond market see ahead and will Inflation come down?
4) The $1.75T Build Back Better Bill is temporarily stalled on the Senate – Action not likely until 2022
5) Weekly Jobless claims total 206K, the 4 week average is the lowest since 1969 – 1.84M Continuous Claims which is the lowest since the beginning of the Pandemic
6) We have 11 M job openings and we are still 3M jobs below the pre-pandemic levels – Are Retirements to account for this shift?
7) Half of Voters believe Biden Policies are making Inflation worse – Inflation is at a 30 year high
*”Transitory’ may have been the worst Fed prediction EVER
8) How will raising interest rates coupled with a Labor Shortage and supply chain disruptions tame inflation?
9) Projections for 2022!
