WSJ's Greg Ip: Everybody's conviction of 2% inflation has to be lower after what we've seen
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- เผยแพร่เมื่อ 12 มิ.ย. 2024
- CNBC's Steve Liesman and Greg Ip, Wall Street Journal chief economics commentator and deputy economics editor, join 'Squawk Box' to discuss the state of the economy, the Fed's inflation fight, impact on the central bank's interest rate path, and more.
I think deflation is the answer. We can't handle anymore increases..
Greg gets it. Times have changed and higher rates will continue for some time.
Neutral rate is meaningless if government is paying for everything through deficit. US deficit (ALONE) is more than 30% of the total S&P500 Revenue.
And this will come back to haunt us. Add to it, Oil is going up.
@headspaceandtiming2114 oil is the biggest inflationary component and OPEC is deliberately cutting back production because they know how it effects Western elections.
2% chance of 2%
houses in CA have increased 7% per year average for the last 50 years
I'm not sure, as we don't hear data about it, that the consumer is the dominant factor in the 2024 economy.
Yes neutral rate is higher. But doesn't mean it's above 5% yet. Probably more near 4%.
Look at the stimulus and spending during the pandemic. Brought inflation, and higher neutral rates. But wasn't sustainable. So we had a global slowdown. Need sustainable neutral rates.
Awesome video man! Do you suggest copy trading as good approach for beginner to start with trading or should I just invest long term while I learn things on how day trading works?? Thank you!
Focus on long term investments in property, stocks, and bonds. Avoid copying, daytrading and 'chart astrology'. Diversify across different geographies, industries, and value chain stages - to reduce your risk. You can do this with ETFs, or by selecting different stocks yourself. This is the best way to invest for more than 90% of people
I successfully trade in my own portfolio, and also follow others because I'm interested in their strategies. I realized I've got better at managing the trader's strategies too. There's nothing wrong at all with having someone far more dedicated manage some of your portfolio.
To be 100% honest with you. I had the same question 4 years ago. I was confused as heck. Now copying other traders for over 3 years, I would like to tell you, YES copy trading is a good approach. Just keep in mind that the success of copying another trader lies in their transparency. Make sure you know who you are dealing with before copying them. My two cents. Goodluck!
It's usually best to ignore the trend whether bullish or bearish and stick to a proper trading plan maybe from the help of a professional. I recently just started investing again so I am still in touch with the consultant that provides entry and exit points on the securities I focus on. She does all the technical analysis legwork while I go about my other businesses. You can use something else if you are the DIY type of guy, investing has no one way to do it
How can I participate in this? I sincerely aspire to establish a secure financial future and am eager to participate. Who is the driving force behind your success?.
2.44
This higher neutral rate was achievable with fiscal spending. But has to be sustainable. Or else it's just going to tumble down as fiscal spending wanes. It's why the Fed wants to uninvert the yield curve. To allow economy to walk on it's own two feet. Higher neutral rate has to be sustainable. Or else future generation won't have much ammunition to cut with.
Do you think that the huge amount of debt the the government has to sell every day that they can cut the interest the buyers will take.
Most likely, “noise” in the Fed’s inflation modeling means that the present rate of inflation is within quadratic mean of the error of the stochastic components of the model. That is, there are linear and stochastic components of the model. The stochastic components have an error function that is non-linear. The inflation rate, then, is still within this error function. In other words, inflation is declining. There is a trend towards reaching, eventually, the inflation target. It’s just going to happen, most likely, in a slow and zig zagging manner.
you've just spoken a load of technical nonense most people will not understand to try and give some sort of authority whilst overlooking all of the real world factors that influence such a thing. Stupid misleading comment
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Nobody cares. Inflation is picking up despite declining growth. Monetary policy clearly is not tight enough. The entire point of rate hikes is to put a lid on borrowing, but the government is still borrowing like mad and the consumers are still borrowing like mad. The last time we faced severe inflation, we had to raise rates higher than the peak inflation of the crisis to "solve" it (along with some fudging of the CPI data) and even then, inflation still remained slightly high for years after. Meanwhile, we're barely at historically normal rates. We're going to need a 10% interest rate shock, then cut as needed to 4-5%. The 0-1% rates of post 2008 were never sustainable or going to last forever.
Pay attention to Japanese investments, Japanese projects and the Japanese cryptocurrency (altcoin) authorized by government of Japan. Thats all I got to say.
As a business owner, we raise prices for every dollar GDP goes up. Easy math 🧮
Let them run deficits or print money 😂
where's larry summer?
He was in favor of the Government printing 7 Trillion Dollars.
Nobody can believe fools 😅All my life I've been doing
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if economy were good, why does the Fed and everyone else constantly have this unquenchable itch to cut? like any time anything even remotely resembling softening of inflation expectation, you see chorus of call for cut (you don't see the same passion for caution back when the Fed was printing like there was no tomorrow), remember, price of almost everything remains at least 50% higher than it was 3 years ago, people ain't forgetting that and their income ain't catching up, the whole "i don't know why data is good but people still in a pissy mood" is simply people who screwed up playing dumb to cover up their screw-up AND to cast blame on the masses as they always do: look, we made the right thing, see, price only increased 4% last quarter after double previous 3 years you should feel thankful for our awesome leadership, how dare you feel bad about the economy? how dare you bristle at higher prices and how dare you refuse to 20% tip to a restaurant with no service whatsoever?
Fools like even my voice because they know i can make them feel my Wright hand 🎉 i just don't want to make them a target 😅
That host sure loves to talk but he isn't good at listening or thinking.
As a regular American tax payer, I can tell you category that prices of food prices are way higher than what has been reported. I see my grocery bill
Back in 1970's, a family of 4 could buy a week's groceries for $20.
TRUMP STRONG !! like ManlyManPootin & Talibans & nate&Yahoo
VOTE TRUMP/SANTOS 2024 - THE ONLY LAW&ORDER CANDIDDATES
BACK DA BLUE !!
it is said you shouldnt suffer fools, but i disagree. i think you shouldnt suffer boring people. a fool can carry on a conversation, most of what he says will be wrong and hilarious, thus entertaining. id rather be entertained by an idiot than bored to death by one word answers and monotone discussions. agree or disagree?
Uncle Joe is out of his depth on this conversation.. he needs to retire