Fed's New Tool: Not Thinking About Thinking

The Fed put a new tool in it's toolbox today. It will no longer think about thinking.

We are Not Even Thinking About Thinking

Fed Chair Powell: "We're not thinking about raising rates. We're not even thinking about thinking about raising rates."

But what about thinking about thinking about thinking about raising rates? pic.twitter.com/RaROP3MCt5

— Hedgeye (@Hedgeye) June 10, 2020

At Least Until 2023

Crazy thoughts surface about 2023. So apparently they are thinking, but 2023 does not count. 

That's good, because interest rates will be nowhere near 3% in 2023. 

How Press Conferences End

Notice the press conference was immediately ended after the bubble question.

— Sven Henrich (@NorthmanTrader) June 10, 2020

Asset Bubble Business Doing Fine 

What a hack.

— Sven Henrich (@NorthmanTrader) June 10, 2020

Clock is Ticking 

“If there were more fiscal support, you would see better results sooner.” Another plea from Powell for Congress to pull the trigger on additional fiscal stimulus where the decision was punted by the Senate until July, opting instead to “wait and see”. The clock is ticking.

— Steven Rattner (@SteveRattner) June 10, 2020

Competition 

Mind the gap! S&P500 rally has totally decoupled from S&P500 earnings trends. pic.twitter.com/N4mh98mAB9

— Holger Zschaepitz (@Schuldensuehner) June 9, 2020

Got Gold? 

Mind the gap! S&P500 rally has totally decoupled from S&P500 earnings trends. pic.twitter.com/N4mh98mAB9

— Holger Zschaepitz (@Schuldensuehner) June 9, 2020

What is the Stock Market Pricing In?

Did you consider the market is pricing in a Biden victory and a Senate sweep that would unleash bailouts of everything including Illinois? https://t.co/ydDfHzCtDn

— Mike "Mish" Shedlock (@MishGEA) June 10, 2020

Question Repeated

Got Gold?