Jerome Powell’s Honest Opinion on Lowering Interest Rates

Jerome Powell recently gave an interview with 60 Minutes where he discussed the problem with lowering interest rates now, and also how he's seeing the current inflation levels and the U.S. debt problem.

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0:00 Why Jerome Powell Isn't Lowering Interest Rates
6:30 When Will Rates Fall?
7:30 Powell's Opinion on the Debt Crisis

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[austinbar]

We are already in the big crash, Inflation is a catastrophe. This CPI report is a colossal failure. To bring the housing market to a halt, the FED will have to pull all the stops. The unfortunate issue is that other markets are being decimated. If you want to stay green, you have to rely on a lot of diversification. Currently up 14% and being careful. Still a better deal than leaving it in a savings or checking account yielding 0-1 percent interest.

[matturner]

Increasing interest rates are going to continue to increase bank failures because it puts their commercial paper and treasuries underwater. They need to freeze interest rates to prevent a deep recession in the economy. At the same time the White house needs to help industry to increase gas and oil output to reduce fuel prices. The war on oil only serves to increase energy prices which trickles out to the rest of the economy as inflation. Lowering interest rates, tightening the money supply, reducing government spending and increasing the cheap supply of fuel will result in reduced inflation and a booming economy. Presto, no inflation and no recession. Of course there are a lot of other agendas out there that will never let all of that happen, so hello recession and sticky inflation.

[pwatom]

Why cut interest rates if growth and unemployment still so good.. makes no sense. ONLY cut interest rates if there is a real need. The ridiculous low near zero rates caused the wealth divide, massive asset chasing and inflation.

[MichaelWilliams-rkcy]

Hit 200k today. Thank you for all the knowledge and nuggets you had thrown my way over the last months. Started with 14k in last month 2024.

[clintscott]

In my opinion end the fed. The Fed kept talking about bad things happening all last year, and we believed them. Surprise, productivity jumped to 2.6% beat the underlying growth potential of 1.8%. Workers did a great job. Maybe we don’t need the Fed after all.

[eeekmeek]

I almost couldn't tell if it was AI generated voiceover lol...good job on the informative video!!

[darlantro]

Scott Pelley is a great journalist and excellent interviewer. His work over the years on 60 minutes is a thing of beauty.

[alancirwin]

I used to dislike Jerome Powell now I think he’s done a good job of balancing this whole thing. Also, I commend him for standing his position in not cutting rates which would definitely be detrimental

[ambition]

0:08: 📉 Insights from Jerome Powell on inflation, interest rate cuts, and US national debt.
2:36: ⚖ Federal Reserve cautious on interest rate cuts due to strong economy and low unemployment, waiting for sustainable inflation decrease.
4:58: ⚖ Challenges of balancing inflation control with economic growth through interest rate adjustments.
7:37: 💰 US facing growing national debt, unsustainable fiscal path, worsening trend.
10:36: ⚖ Federal Reserve's approach to economic decisions unaffected by political implications.
Recapped using Tammy AI

[dhillaz]

Big brain move using AI to recreate the sound with a different fingerprint

[mobykanob]

Translation - We are not cutting rates until unemployment goes up, economy slows down. Why would I? All the risk is in cutting rates, not leaving them where they are. It will take a recession, which is a very strong possibility, before he cuts rates to where the market has stocks priced in right now... That possibility of a recession gets worse if he cut rates now. I would be surprised if we saw more than 1 rate cut this year. My bet is we see none.

When the stock market realizes this, things will start to correct...recession will also contribute to this..markets are at a very very very sensitive spot.

[Ketoinvestor]

This may well be the best video the team has ever produced. Clearly, having the opportunity to ‘interview’ Powell has a lot to do with my opinion. However, I suspect this editing/format would work for other, less important ‘guests’

[RichardMoore-jgtl]

Increased losses for portfolios this quarter are predicted by market drops, skyrocketing inflation, a major interest rate hike by the Fed, and rising treasury rates. How can I profit from the volatile market right now? I'm still considering whether to sell my million dollar bond and stock account.

[Skeptik]

Return to 2% inflation? Over the past 50 years, inflation averaged about 4.5% annually. I am 72 years old and I lived it. The FED either lies or they are incompetent. (I suggest both.) The FED counterfeits, it is the engine of inflation.

[aventh]

One small thing to make a video like this even better. When Powell is saying "in seven weeks", have the date of the interview in there or something that tells the viewer the timeframe.

[mrtony]

It's not the Feds or Powells fault that congress spends too much money. It'll take a large recession to remind people about the importance of fiscal conservatism. I'm not sure any politicians advocating for that are left.

[DarenHoekstra]

For prices to come down you need deflation. You hope that doesn't happen because that leads to even bigger economic problems.
We just have to adjust to the current higher prices. I know it's not easy but it is our reality.

[Jaymilnere]

The CPI report revealed that inflation has dropped to its lowest in more than two years, and that's great news for both the economy and the stock market. but I don't know if stocks will quickly rebound, I am under pressure to sell my $250, 000 ETF/Growth Stock portfolio.

[MANYCARS]

The 60 Minutes clip was from 2 months ago I think? Lots had changed since