Likely market direction if the fed is fired?

Discussion in 'Trading' started by Cuddles, Jul 28, 2019.

  1. Cuddles

    Cuddles

  2. tommcginnis

    tommcginnis

    Neither "the fed" nor Jerome Powell will be lawfully fired.
     
    bone, LS1Z28, fan27 and 1 other person like this.
  3. Cuddles

    Cuddles

    Let's just say lawfulness is a suggestion now a days
     
  4. LS1Z28

    LS1Z28

    That's an interesting question. The markets hate any type of disruption, but I think they would love a Fed chairman that would champion lower rates. So my best guess is that the move would be a net positive for the markets overall.

    All that being said, I doubt that Trump tries to fire Powell. He complained about Mueller 24/7, but he ultimately let him do his job. I think he'll do the same thing with Powell. You never know though. He's a touch unpredictable. ;)

    I understand why Trump is upset with the Fed. They raised rates a grand total of once between Obama's inauguration and the 2016 election. Since the election, they've raised rates 8 times. But you can't put that on Powell. He's just playing catch-up because his predecessor didn't do her job properly.
     
    bone likes this.
  5. dozu888

    dozu888

    typical Trump style on Mueller and the Fed.

    I think the idea has burnt so deep into him after decades of doing biz deals, in his eyes everything is a negotiation... and he's gonna start in every negotiation by asking for the maximum.. then give up pieces here and there to get the deal done... that's been the path of almost everything he's done so far as potus.

    on Mueller though - I wonder if there is a strategic move not to 'investigate the investigators' sooner.... it's just started but sure could have been done long ago... perhaps he just wanted the Dem's to chew on the nothing burger for a bit longer.... and now Pelosi and company is stuck and has no way out of it.... they sure can't just admit defeat, that would be a public opinion disaster.... so now they have to keep going..
     
  6. Cuddles

    Cuddles

    Please let's try to keep the thread on topic and not derail it with wacky conspiracies.
     
    comagnum likes this.
  7. dozu888

    dozu888

    ok officer....

    then I ran into this tweet and just had to keep hijacking this lol



    see - this is what I was talking about, not only in the sense of a 'wacky conspiracy'.... but also this is the reading skills that make 'trading is easy' possible.

    reading political games is quite similar to reading the stories unfold in the markets...

    and by the way to get back to the thread - no the gold standard will never happen, so don't worry about it.

    EDIT - didn't realize the tweet was actually a live feed, but he was talking about exactly the same thing - Trump let the nothing burger completely play out, then mount the counter strike.
     
  8. Cuddles

    Cuddles

    anytime a thread turns political it gets moved, that's why I'd rather not sidetrack it with the latest irrelevant theories from Qanon.
     
  9. REDP1800

    REDP1800

    not one person here can just answer someones question!
    UP of course. up since it shows just how n charge trump is of it all and he will appoint the new fed chair who will be even more of a dove and an better puppet. UP up up right after it goes down to fool you and it will fool you.. i will buy this dip of course. thank for the liquidity in advance
     
  10. bone

    bone

    Trump will NOT fire Powell. But he will troll him mercilessly.

    It’s clear to the Fed that Draghi and the ECB are using interest rates and stimulus to affect FX rates in order to compete against the US. The ECB already has negative rates and they intend to lower them further. And the Euro has been weakening vs the Dollar which is exactly what Draghi intends. The Fed is playing catch-up.
     
    #10     Jul 28, 2019
    LS1Z28, dozu888 and Overnight like this.