Higher rates eventually enforce a sort of discipline on the drunken party in government and even in the private sector. That would be a good thing.
This is fast moving now, but the Fed is still pouring fuel on the fire.
And the Fed can see the budding Wage-Price Spiral too.
But the first upticks in delinquencies from breath-taking record lows are cropping up.
So the Fed Gets Ready to Walk Away from the Bond Market, and All Kinds of Stuff Happens.
Most Reckless Fed Ever on the move finally, biggest rate hike since 2000, QT next, but too little too late.
Markets already started to kiss that easy money goodbye.
The Fed is still pumping fuel on the fire.
“It is of paramount importance to get inflation down,” she said to get markets to prepare for what’s coming. And they’re preparing.
The wealthy got immensely wealthier. Everyone else paid for it via rampant inflation.