It’s one thing to have Bill Maher and others in Hollywood say that they are rooting for a recession in the US, so that President Trump will have trouble being re-elected.
It’s quite another to have ex-NY Fed President Bill Dudley instruct Fed chief Jerome Powell to make it happen.
This is just one of the sentiments Dudley — the former Goldman Sachs banker — wrote in an opinion piece for Bloomberg.
Dudley told Powell in no uncertain terms that he should not aid and abet Trump in his tariff tiff with China by lowering rates to accommodate the action. If anything it might be better for all concerned to raise rates to stop the tariffs and slow the economy.
This type of thinking that Dudley suggests is why we had thirty years of lost jobs and growth to China. Oh and it was also lost on Dudley’s watch as the top fed president overseeing the Fed’s trading operations.
This jawboning tells you all you need to know about the Fed being an independent non-partisan central bank. They make policy for the good of their owners, the Wall Street banks.