The Fed Is on a Collision Course

U.S. Federal Reserve Eccles Building, 1937

 

Is the Trump economic boom a mirage? The data say yes, but the Fed models say no. The Fed has a long track record of sticking to its model-based approach and missing major turns in the U.S. economy.

Current Fed policy will push the U.S. economy to the brink of recession later this year. When that happens, the Fed will have to reverse course and ease monetary policy. This will send the dollar crashing while gold and the euro soar.

At first, the claim that the Trump economic boom is nothing special seems contrary to the happy-talk headlines coming from CNBC, Fox Business, Bloomberg and other mainstream business media outlets.

Rep. Gaetz: “We Are at Risk of a Coup d’Etat in This Country” Unless Mueller Resigns or is Fired

 

House Rep. Matt Gaetz (R-Fla.) called on Special Counsel Robert Mueller — who is investigating alleged Russian collusion with the Trump 2016 campaign — to resign because there is an apparent conflict of interest involving Mueller and an alleged campaign to undermine the president and force him from office.

Rep. Gaetz also called for a special prosecutor to investigate the Uranium One scandal, the Clinton Foundation, and the Fusion GPS firm, which produced the “Russian dossier” alleging Trump-Russia collusion and which was paid by Obama for America’s law firm, the Democratic National Committee (DNC), and the Hillary Clinton presidential campaign.

Special Counsel Mueller’s investigation is, in part, based on the Fusion GPS-provided “dossier.”