In Reply to: Re: PCE ticks up again inflation still a thing posted by russsmith on October 29, 2026 at 13:32:36
> Todays data just reinforces what she said, inflation is still too high and climbing, there's literally no logical reason NOT to raise the rates beyond politics
My original comment was responding to this statement. There is nothing obvious about monetary policy. Claiming otherwise frankly demonstrates a lack of understanding of economics. Furthermore, Warsh has demonstrated independence from Trump by following the decisions supported by the overwhelming majority of Fed advisors to raise rates both last month and infer he would continue to do so in future months. What would have been shocking is if he had gone against their recommendations.
> And many experts say the rates SHOULD have gone up but didn't because of the midterms
Please tell me who these experts are, because the people appointed to the Fed overwhelmingly believed the opposite. Who exactly are "they"? The actual experts overwhelmingly disagreed with that position.
> It's not absurd at all the reason they didn't raise the rates was the midterms.
What's absurd is claiming that raising rates was the only obvious and logical decision and that the decision not to raise them was motivated solely by politics, particularly when that would mean going against the overwhelming majority opinion of the Fed.
> And here's the NYT saying Warsh is moving too slowly and might make the same mistake that was made during the Biden presidency when they waited too long.
The Fed did a masterful job navigating the economy during the Biden presidency. While much of the rest of the world struggled with recessionary conditions and economic weakness, the United States experienced remarkable economic growth while gradually bringing inflation under control. That was an impressive accomplishment, especially given the economic challenges they faced. The monetary policy under Biden was the model of the world.