The focus appears to be entirely on tariffs which have solely been a tool for Trump to extort various countries, they don’t seem to really stick around or stay very high for very long.
I have not heard the Feds say a word about the AI-bubble’s affects on the economy. Ignoring the great sucking effect that it has had on private and public capital as a whole, the RAM/storage price situation is going to show up in pretty much everything that needs a computer and I don’t see anyone at the Fed factoring that in. It will(and already has) hit everything from consumer PC/gaming/TV/SmartPhones but also Cloud providers, Automotive, Infrastructure technology. Remember that it is not just those who want to replace or upgrade old tech(these could wait in theory) but also applies to repairs for things that can’t wait.
If you cut rates now or too soon, asset(house) prices will sky rocket due to private capital (smart money) fleeing the AI-bubble and rushing into housing. Then you will have a situation that is somehow worse than the present.
I don’t really think that rate cuts will do anything to address AI-layoffs, offshoring of hundreds of thousands of good paying tech jobs and manufacturing jobs, or labor jobs that immigrants(illegal and ‘legal’ ones) have taken from the natives. We need sweeping policy reform to bring all of that work back. It will push wages up(and hopefully margins down) and least begin the process of undoing decades of wage dilution and price distortions.
The focus appears to be entirely on tariffs which have solely been a tool for Trump to extort various countries, they don’t seem to really stick around or stay very high for very long.
I have not heard the Feds say a word about the AI-bubble’s affects on the economy. Ignoring the great sucking effect that it has had on private and public capital as a whole, the RAM/storage price situation is going to show up in pretty much everything that needs a computer and I don’t see anyone at the Fed factoring that in. It will(and already has) hit everything from consumer PC/gaming/TV/SmartPhones but also Cloud providers, Automotive, Infrastructure technology. Remember that it is not just those who want to replace or upgrade old tech(these could wait in theory) but also applies to repairs for things that can’t wait.
If you cut rates now or too soon, asset(house) prices will sky rocket due to private capital (smart money) fleeing the AI-bubble and rushing into housing. Then you will have a situation that is somehow worse than the present.
I don’t really think that rate cuts will do anything to address AI-layoffs, offshoring of hundreds of thousands of good paying tech jobs and manufacturing jobs, or labor jobs that immigrants(illegal and ‘legal’ ones) have taken from the natives. We need sweeping policy reform to bring all of that work back. It will push wages up(and hopefully margins down) and least begin the process of undoing decades of wage dilution and price distortions.