GDP is much worse than -1% when July CPI came in at nearly 10% versus the measly GDP deflator of only 1%. Are you telling me that consumer prices are rising at 10% while production costs are only rising at 1%? That's insane. We all know that producer costs rise first due to raw materials seeing inflation first. So GDP is actually in the range of -8% to -10%, well into the recession category when you take inflation into account. And CPI is manipulated in the first place.
Monetary inflation as measured by M3 is near 20%!

What the Federal Reserve does with interest rates is price-fixing, a non-free market manipulative practice. Real interest rates (e.g. mortgages and bonds) will continue to rise strongly on the back of higher inflation expectations. The overnight rates being kept low will do nothing but spur more monetary inflation, which will just make things worse and worse. It gives a break to the banks but does nothing for consumer mortgages or credit cards. So low rates don't really help the economy, they just bail out the banks at our expense and keep inflation growing ever faster.

 

Page can't be found.
Why not post here?
 

Sorry about that. I will test each link before I post it in the future.

I am going to be getting paid ad revenue on the other site shortly.
 

If the Fed REALLY wanted to strengthen the dollar, it would raise interest rates ASAP. Keeping interest rates low keeps too much money in the market. It's time to reel in the cash before it's too late (although it may already be).

 

Sure, but the Fed tightening credit is what precipitated the Great Depression, which Bernanke has made his life study. He would never make the same mistake as back then. The real mistake was printing too much money and keeping credit too lax in the first place. There's really no appropriate solution now other than depression. That's the rock, with the hard place being hyperinflation. Currently, they're using the tactic of papering over the problem by manipulating the currency and commodities markets to make the Dollar appear stronger, but that will not actually solve anything. It just makes people less concerned about it before the election. And it will make things much worse once that unwinds as well. I'm afraid there is no solution besides either deflationary depression or hyperinflationary depression.