The always full of doublespeak Fed minutes were out on Wednesday and while I didn’t get to post this then, I found it appropriate to post today, given their last minute, closed door meeting scheduled for Monday 11/23 (tomorrow).
From the minutes, here’s the nonsense directly from the horse’s mouth:
“Most participants anticipated that, based on their assessment of the current economic situation and their outlook for economic activity, the labor market, and inflation, these conditions could well be met by the time of the next meeting,” the minutes said. [emphasis added].
Just in case you decided to put any weight on that emphasized statement, keep the following graphic in mind:
The fact that they have always been wrong, not withstanding, the doublespeak continues:
Fed officials largely agreed, concluding the Fed’s target fed funds rate “would likely be lower than was the case in previous decades,” the minutes said.
“Participants generally agreed that it would probably be appropriate to remove policy accommodation gradually,” the minutes said of a subsequent discussion about the near-run rate outlook. “It was noted that beginning the normalization process relatively soon would make it more likely that the policy trajectory after liftoff could be shallow.” [emphasis added]
Translation: if we do do what we’ve been saying we might do, but never actually committed to doing, we won’t be doing much of the thing that we said we might possibly do (maybe). You can’t make this stuff up. Yet, we’ve heard this all before. The following quote, is straight out of the hilarious, but incredibly underrated, movie Baseketball where two characters Remer & Coop, are discussing a committed, non-committal relationship with a woman, Jenna, that neither of them are actually dating:
Remer: “What’s that?”
Coop: “It is a commitment ring.”
Remer: “What, for Jenna?”
Coop: “Yes, I’m letting her know that I’m ready to consider thinking about dating her exclusively.”
Remer: “well I’m giving Jenna a precommitment ring. its a promise to pledge that we’ll think about getting engaged just as soon as we are ready to make a commitment.
Substitute Yellen and Fisher’s names for either Remer or Coop and you’ll have a pretty good back and forth of the typical Fed meeting.
Besides watching 90 minutes of purse satire, can you imagine anyone else writing such ridiculous prose? It’s beyond embarrassing that anyone pays attention to these fools, let alone hang onto, their every typed and spoken word. If these types are the “best and brightest” in the country, no wonder the US school system is in such disarray. Just in case it wasn’t immediately obvious, these people are not the best and they’re certainly not the brightest. Despite the shibboleths held to by the standard American member of the boobeoisie, being well educated does NOT equate to being intelligent.