Image credit: InfoWars
Donald Trump gave many Americans hope that they would have their first anti-establishment President, after a campaign where he was critical of Janet Yellen and the Federal Reserve’s artificial inflation of the market.
Trump even lambasted the Fed on the world’s largest stage last October, in his debate with Hillary Clinton.
Trump warned the American people,
“We’re in a bubble right now. We are in a big, fat, ugly bubble.. And we have a Fed that’s doing political things. This Janet Yellen of the Fed, the Fed is being political by keeping the interest rates at this level.. The Fed is being more political than Secretary Clinton.”
Now it appears President Trump is the one “doing political things.”
Speaking about the prospect of replacing Janet Yellen as chairman of the Federal Reserve Board in 2018, President Trump said, “I like her. I respect her. It’s very early.”
Trump also appears to have changed his attitude towards the Federal Reserve’s artificially low interest rates, telling the Wall Street Journal, “I do like a low-interest-rate policy, I must be honest with you.”
It is the artificially low interest rates which have propelled us into this big, fat, ugly bubble Trump warned us about, and raising rates to allow the market to correct itself will be the only way out. The longer the Fed keeps interest rates artificially low, the worse the bubble will get, which will only make it more difficult for the market to correct itself.