The FOMC statement just hit the tape. Here are the details, including Powell’s virtual, tightly scripted press conference…
(by Half Dollar) The April FOMC just “hit the tape”.
To nobody’s surprise, the Fed left rates where they are (excerpt from statement):
The Federal Reserve is committed to using its full range of tools to support the U.S. economy in this challenging time, thereby promoting its maximum employment and price stability goals.
The coronavirus outbreak is causing tremendous human and economic hardship across the United States and around the world. The virus and the measures taken to protect public health are inducing sharp declines in economic activity and a surge in job losses. Weaker demand and significantly lower oil prices are holding down consumer price inflation. The disruptions to economic activity here and abroad have significantly affected financial conditions and have impaired the flow of credit to U.S. households and businesses.
The ongoing public health crisis will weigh heavily on economic activity, employment, and inflation in the near term, and poses considerable risks to the economic outlook over the medium term. In light of these developments, the Committee decided to maintain the target range for the federal funds rate at 0 to 1/4 percent. The Committee expects to maintain this target range until it is confident that the economy has weathered recent events and is on track to achieve its maximum employment and price stability goals.
Everybody knows that zero percent interest rates aren’t enough to keep the Fed’s bubbles inflated, however, so just like the first sentence of the statement makes clear, attention will now surely focus on how the Fed plans to use it’s “full range of tools” to intervene in the markets every second of every day.
We finally get back to the Powell pressers, it appears, and today’s should start at 2:30 p.m. EST:
Please just remember that just as is the case with the Coronavirus Task Force, real questions aren’t asked, and in the unfortunate event that something semi-real does get asked, the question will be ignored, and the answer will pertain to some other topic.
Such as when Trump was asked about Universal Basic Income yesterday, but answered about something completely different:
Side note: Since the truth hurts, notice the small view count on that article.
So be it.
I’m not here to win any popularity contests, for I’m here to bring the news, and I don’t make the news, I only report it.
Regardless, gold & silver were moot during today’s -4.8% GDP print:
If we had free markets, I’d say that’s some sideways choppy price action, but we do not have free markets.
Unless, of course, you ask the gold & silver manipulation deniers, and then, we have free markets in gold & silver, just not in anything else.
Nonetheless, gold & silver’s knee-jerk reaction when the FOMC Statement hit the tape was rather “meh”: