The federal reserve, unanimously, raised interest rates today. The board members also penciled in that they believe there should be a second rate hike before the end of the year. The reason inflation is up? It’s because gas and diesel are up because of the war in Iran and how speculators make money.
It is not because the economy is growing at 6% (white hot) and it needs cooling down. This rate hike and presumably one in December will only make it harder for the American consumer to buy a home, buy a car, or borrow money for various reasons.
This rate hike will also make it more expensive for businesses to borrow money to innovate, expand, and hire. The economy grew 162,000 jobs in August, before we see whatever the revised number becomes.
While a big turnaround from July, it does not even keep up with population growth (205,000 jobs). I’m beginning to wonder just who is on the side of the American people, 586 miles from where I live.
The federal reserve does not live in reality! They renovated three buildings at a cost of $3 billion last year, but for what purpose. So the air-conditioning is a little colder, the heat is a little warmer, and their chairs are a little more cushy?
The American people need allies in our government, not adversaries.
Leave a Reply