Good discussion here of the weight of recent economic data and the limitations and negative impacts likely from deeper rate cuts and even more QE. A more productive response is to focus policy on much needed infrastucture investment and to pay for it by reducing the subsidies and tax breaks that have flowed to public corporations and financial intermediaries over the last decade.
Danielle DiMartino Booth, CEO of Quill Intelligence and former Dallas Fed advisor, talks about how the falling U.S. services and manufacturing data will impact the Fed’s next rate decision. Here is a direct video link.
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