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TheBlackWindXIV t1_j6kr6xy wrote

I’m a complete moron when it comes to the economy. Does the Fed pivoting imply reduction in interest rates or something else? And what is QE?

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Powellwx t1_j6le607 wrote

QE is short for queef, the sound your wife makes after her boyfriend leaves after he sells you calls.

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[deleted] t1_j6kxy7o wrote

It means switching back to printing money and giving out loans for free

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y90210 t1_j6l2sy4 wrote

Fed won't do anything but raise rates in 2023, they already said that. And they don't want to stop and reverse too early because it would make things worse. All that's happening right now is a slowing of the rate of inflation but costs are still elevated. Powell also said his goal is to slow inflation in large part by preventing wage inflation (people being paid more). Which also means he seeks to increase unemployment as a way to reach their goal. Unemployment is still too low, so hikes will continue.

End of the war doesn't fix the issues we face. And usually the bottom of the market occurs AFTER the fed has pivoted.

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Mrgoldenwhale t1_j6mx57f wrote

Yes. Pivoting, like a pivot means the fed stops increasing interest rates and decrease. QE is quantitative easing and from what I read is the govt lending money to themselves to give to the market, in effect printing more money while trying to avoid inflation.

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