{"id":13024,"date":"2016-03-17T05:33:59","date_gmt":"2016-03-17T09:33:59","guid":{"rendered":"http:\/\/goldstocksforex.com\/?p=13024"},"modified":"2016-03-17T05:33:59","modified_gmt":"2016-03-17T09:33:59","slug":"give-up-the-idea-that-the-fed-can-do-what-it-wants","status":"publish","type":"post","link":"https:\/\/thepatientinvestor.com\/index.php\/2016\/03\/17\/give-up-the-idea-that-the-fed-can-do-what-it-wants\/","title":{"rendered":"Give up the idea that the Fed can do what it wants"},"content":{"rendered":"<p>Please give up the idea that the Fed can do what it wants. It looks like it can in the short-run, but in the long run markets do what they want, and the Fed has to respond, rather than lead.<\/p>\n<p>~ <a href=\"http:\/\/seekingalpha.com\/article\/3036306-the-bond-market-tells-the-fed-what-to-do-not-vice-versa\" target=\"_blank\">David Merkel<\/a><\/p>\n<blockquote class=\"twitter-tweet\" lang=\"en\"><p><a href=\"http:\/\/t.co\/YN1kDJUKmL\">pic.twitter.com\/YN1kDJUKmL<\/a><\/p>\n<blockquote class=\"twitter-tweet\" lang=\"en\"><p>SchulzMuseum (@SchulzMuseum) <a href=\"https:\/\/twitter.com\/SchulzMuseum\/status\/516675167536553984\">September 29, 2014<\/a><\/p><\/blockquote>\n","protected":false},"excerpt":{"rendered":"<p>Please give up the idea that the Fed can do what it wants. It looks like it can in the short-run, but in the long run markets do what they want, and the Fed has to respond, rather than lead. ~ David Merkel pic.twitter.com\/YN1kDJUKmL SchulzMuseum (@SchulzMuseum) September 29, 2014<\/p>\n","protected":false},"author":2,"featured_media":0,"comment_status":"open","ping_status":"open","sticky":false,"template":"","format":"quote","meta":{"_mo_disable_npp":"","_jetpack_memberships_contains_paid_content":false,"footnotes":""},"categories":[57],"tags":[],"class_list":["post-13024","post","type-post","status-publish","format-quote","hentry","category-stock-markets","post_format-post-format-quote"],"yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.6 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Give up the idea that the Fed can do what it wants - the patient investor<\/title>\n<meta name=\"robots\" content=\"noindex, follow\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Give up the idea that the Fed can do what it wants - the patient investor\" \/>\n<meta property=\"og:description\" content=\"Please give up the idea that the Fed can do what it wants. It looks like it can in the short-run, but in the long run markets do what they want, and the Fed has to respond, rather than lead. ~ David Merkel pic.twitter.com\/YN1kDJUKmL SchulzMuseum (@SchulzMuseum) September 29, 2014\" \/>\n<meta property=\"og:url\" content=\"https:\/\/thepatientinvestor.com\/index.php\/2016\/03\/17\/give-up-the-idea-that-the-fed-can-do-what-it-wants\/\" \/>\n<meta property=\"og:site_name\" content=\"the patient investor\" \/>\n<meta property=\"article:publisher\" content=\"https:\/\/www.facebook.com\/profile.php?id=61572934660810\" \/>\n<meta property=\"article:published_time\" content=\"2016-03-17T09:33:59+00:00\" \/>\n<meta name=\"author\" content=\"ColinTwiggs\" \/>\n<meta name=\"twitter:card\" content=\"summary_large_image\" \/>\n<meta name=\"twitter:label1\" content=\"Written by\" \/>\n\t<meta name=\"twitter:data1\" content=\"ColinTwiggs\" \/>\n<script type=\"application\/ld+json\" class=\"yoast-schema-graph\">{\"@context\":\"https:\\\/\\\/schema.org\",\"@graph\":[{\"@type\":\"Article\",\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/#article\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/\"},\"author\":{\"name\":\"ColinTwiggs\",\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/#\\\/schema\\\/person\\\/cb072791ac83e8bae585007c133d54a5\"},\"headline\":\"Give up the idea that the Fed can do what it wants\",\"datePublished\":\"2016-03-17T09:33:59+00:00\",\"mainEntityOfPage\":{\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/\"},\"wordCount\":62,\"commentCount\":0,\"publisher\":{\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/#organization\"},\"articleSection\":[\"Stock Markets\"],\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"CommentAction\",\"name\":\"Comment\",\"target\":[\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/#respond\"]}]},{\"@type\":\"WebPage\",\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/\",\"url\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/\",\"name\":\"Give up the idea that the Fed can do what it wants - the patient investor\",\"isPartOf\":{\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/#website\"},\"datePublished\":\"2016-03-17T09:33:59+00:00\",\"breadcrumb\":{\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/#breadcrumb\"},\"inLanguage\":\"en-US\",\"potentialAction\":[{\"@type\":\"ReadAction\",\"target\":[\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/\"]}]},{\"@type\":\"BreadcrumbList\",\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/index.php\\\/2016\\\/03\\\/17\\\/give-up-the-idea-that-the-fed-can-do-what-it-wants\\\/#breadcrumb\",\"itemListElement\":[{\"@type\":\"ListItem\",\"position\":1,\"name\":\"Home\",\"item\":\"https:\\\/\\\/thepatientinvestor.com\\\/\"},{\"@type\":\"ListItem\",\"position\":2,\"name\":\"Give up the idea that the Fed can do what it wants\"}]},{\"@type\":\"WebSite\",\"@id\":\"https:\\\/\\\/thepatientinvestor.com\\\/#website\",\"url\":\"https:\\\/\\\/thepatientinvestor.com\\\/\",\"name\":\"The Patient Investor\",\"description\":\"Smart. 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There is no change to the rate of Fed balance sheet runoff (QT). FOMC dot plot projections reflect a mildly dovish long-run monetary policy, but not sufficient to antagonize the bond market. Chair Jerome\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"FOMC Projections","src":"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2025\/2025-09-17-fomc.png?resize=350%2C200&ssl=1","width":350,"height":200},"classes":[]},{"id":25928,"url":"https:\/\/thepatientinvestor.com\/index.php\/2021\/05\/21\/rrp-a-fed-taper-by-stealth\/","url_meta":{"origin":13024,"position":1},"title":"RRP: A Fed taper by stealth","author":"Colin Twiggs","date":"May 21, 2021","format":false,"excerpt":"We will try to keep the jargon to a minimum, so that we do not get lost in the maze of financial markets. On May 20th, Tyler Durden published an article headed \"Fed Alert: Overnight Reverse Repo Usage Soars Above Covid Crisis Highs\" What is Overnight Reverse Repo? Overnight Reverse\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":16023,"url":"https:\/\/thepatientinvestor.com\/index.php\/2017\/10\/23\/fed-flunks-econ-101\/","url_meta":{"origin":13024,"position":2},"title":"Fed flunks econ 101?","author":"Colin Twiggs","date":"October 23, 2017","format":false,"excerpt":"Caroline Baum's opinion on the Fed's approach to inflation: For all the sturm und drang about the Fed debasing the dollar and sowing the seeds of the next great inflation, the public\u2019s demand for money has increased. The increased desire to hold cash and checkable deposits has risen to meet\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":54146,"url":"https:\/\/thepatientinvestor.com\/index.php\/2024\/06\/07\/the-fed-treasury-and-liquidity\/","url_meta":{"origin":13024,"position":3},"title":"The Fed, Treasury and liquidity","author":"Colin Twiggs","date":"June 7, 2024","format":false,"excerpt":"A reader asked me to please explain why liquidity is rising despite the Fed hiking rates and shrinking its balance sheet (QT) by more than $1.7 trillion. We will try to avoid the technical jargon and stick to the basics. But it's not always an easy concept to explain or\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"Commercial Bank Reserves at the Fed","src":"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2024\/2024-06-06-bankreserves.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2024\/2024-06-06-bankreserves.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2024\/2024-06-06-bankreserves.png?resize=525%2C300&ssl=1 1.5x"},"classes":[]},{"id":19882,"url":"https:\/\/thepatientinvestor.com\/index.php\/2020\/03\/07\/global-financial-markets-are-sinking\/","url_meta":{"origin":13024,"position":4},"title":"Global financial markets are sinking","author":"Colin Twiggs","date":"March 7, 2020","format":false,"excerpt":"The current crisis is not caused by the coronavirus. Global financial markets have been at sea in a leaky boat for some time. Central bankers managed to plug the leaks, so far, but it is questionable whether they will be able to weather the approaching COVID-19 storm without sustaining long-term\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"","src":"","width":0,"height":0},"classes":[]},{"id":40923,"url":"https:\/\/thepatientinvestor.com\/index.php\/2023\/02\/18\/surviving-an-irrational-market\/","url_meta":{"origin":13024,"position":5},"title":"Surviving an Irrational Market","author":"Colin Twiggs","date":"February 18, 2023","format":false,"excerpt":"\"There is nothing so disastrous as a rational investment policy in an irrational world.\" ~ John Maynard Keynes The Fed is hiking interest rates, the yield curve has inverted, leading indicators are at recession levels, and yet stocks are rallying. The S&P 500 penetrated its descending trendline and is testing\u2026","rel":"","context":"In &quot;Banks &amp; Interest Rates&quot;","block_context":{"text":"Banks &amp; Interest Rates","link":"https:\/\/thepatientinvestor.com\/index.php\/category\/economy\/the-fed-banks-interest-rates\/"},"img":{"alt_text":"S&P 500","src":"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2023\/2023-02-17-spx.png?resize=350%2C200&ssl=1","width":350,"height":200,"srcset":"https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2023\/2023-02-17-spx.png?resize=350%2C200&ssl=1 1x, https:\/\/i0.wp.com\/www.incrediblecharts.com\/images\/2023\/2023-02-17-spx.png?resize=525%2C300&ssl=1 1.5x"},"classes":[]}],"_links":{"self":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/13024","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/users\/2"}],"replies":[{"embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/comments?post=13024"}],"version-history":[{"count":0,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/posts\/13024\/revisions"}],"wp:attachment":[{"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/media?parent=13024"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/categories?post=13024"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/thepatientinvestor.com\/index.php\/wp-json\/wp\/v2\/tags?post=13024"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}