28 Feb 2014 Don’t Fight The Fed
Posted at 15:24h
in The Friday Brief
One of Wall Street's wisest admonishments is to avoid positioning one's investments contrary to Fed guidance or actions. After all, they are the only buyer or seller in the US with an unlimited supply of money for their purposes. Since the Great Recession our Federal Reserve has been bent and determined to stimulate employment, with few references to the inflation it might cause. In fact, they have been far more concerned with deflation than with the threat of too much money driving up prices.