The Unz Review:ㅤThe Fed Isn’t Fighting Inflation, It’s Fueling It, by Mike Whitney

the-unz-review:ㅤthe-fed-isn’t-fighting-inflation,-it’s-fueling-it,-by-mike-whitney

13-06-22 04:10:00,

The media would like to believe the Fed is doing everything in its power to fight inflation, but it’s not true.

Yes, the Fed raised rates by 50 basis points in May and, yes, the Fed is trying to sound as “hawkish” as possible. But these things are designed to dupe the public not to reduce inflation. Let me explain.

The current rate of inflation in the US is 8.6%, a 40-year high.

At its May meeting, the Fed raised its target Fed Funds Rate to 1%. Here’s the scoop:

“The Federal Reserve recently announced that it’s raising interest rates by half a percentage point, bumping the federal funds rate to a target range of 0.75-1.00%.” (The Spokesman-Review)

Got that? So the Fed’s rate is still a measly 1%. That’s what the media is trying to hide from you, and that’s why you might have to read 9 or 10 articles before you find a journalist who provides you with the actual rate.

Why are they hiding the rate?

Because the rate is 7.6% below the rate of inflation, so it doesn’t do a damn thing. It’s another public relations travesty dolled-up to look like serious monetary policy. But it’s a joke, and you can see it’s a joke.

Think of it like this: If I loaned you $100 at 1% interest– but inflation was running at 8%– I would lose 7 bucks per year,

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