Investors and the business media are piling on the anti-Federal Reserve bandwagon after they cut the Fed funds rate only 25 basis points on December 11.
Immediately following the announcement of that cut, the Dow Jones Industrial Average (DJIA) tumbled down to close nearly 300 points and that fueled outcries about the Fed.
CNN senior business correspondent Ali Velshi criticized the decision on December 12:
"[T]he statement - the first line of the statement - read that the Fed seems to think that because of the evidence coming in that there might be some slowing in economic growth," Velshi said during the 9:00 a.m. hour of the "CNN Newsroom." "And I think a lot of people throw their arms up and say, ‘come on, guys, you know, yeah, we know there is slowing in economic growth.' They seem to be a little late to the party and I think investors think that they don't have their finger on the pulse."
Velshi also used the Fed news as an opportunity to report Americans are down on the economy according to a CNN/Opinion Research Corporation poll.
The poll stated voters think the economy is a more important issue than the Iraq war. The poll also revealed 57 percent of voters think the United States is in an economic recession and 26 percent think one is likely in the next year.
However, CNN's Heidi Collins admitted the media have played a role in hyping the possibility of a recession.
"Well, with all this talk of a recession, and we keep on doing it in the media to be fair, can we expect another big drop in the stock market today?" asked "Newsroom" co-anchor Collins.
Velshi also seemed to be aware of the influence of too much recession talk.
"[A]nd by the way, we get a fair amount of criticism at CNN about the fact that we have these conversations, but mine is not to start a recession or stop one," Velshi said earlier on the December 12 "American Morning." "It's to tell you what you guys are thinking about a recession and see where it goes."
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Velshi is the Problem
December 12, 2007 - 19:13 ET by Lame CherryThe modern economist is akin to the islander who traded sea shells for cash in having a moron's understanding of what "economy" is.
While Velshi screams for "cutting rates" WHERE IN THIS BLOG OR ANY CONSERVATIVE CIRCLE stating the fact that Velshi and the media are making economic warfare on the poor????
Do school children with money saved for college, poor wage earners or for that matter numerous elderly not snow birds EVER HAVE MONEY IN THE STOCK MARKETS? The answer is no. These savers use their locally owned banks getting small returns on savings, but driving local economies in lending with their savings in fractal lending.
Every time Velshi and the big shot jerks cheer for a rate cut they are making economic warfare in the poor by taking earnings off of interest in their savings and certified deposits.
These people save in the 5,000 to 25,000 category and depend heavily on those cents to 4% in earnings. I know a treading water elderly woman who is currently spending her CD interest to supplement her bills.
The drop in interest means 50 bucks gone from these people's pockets while these unroyal asses bitch the fed is not doing enough.
Where the hell is Hillary Clinton on this?
Where is the candidate I intend to support in Fred Thompson? Silent as all are as none of these people have anyone advising them on economic policy worth the green that comes out of a goose.
America can run high interest rates as I have shown as the banks did it under Ronald Reagan and the Stock Market still grew and the economy blossomed.
Velshi is the problem as he is like all these 3rd world throwbacks like the mock "conservative" D'Souza who study Americanism in school and have no idea what they are speaking about as they have no experience. It is like an episode of Star Trek where the Squire viewed the world from light years away, but his fire had no heat as he had no idea fire produced heat.
CNN should fire this affirmative action Velshi.
None of this is that hard. Milton Friedman could tell people in a Playboy interview what economics were and masses understood it. America just needs people who stop managing debtor economics and put in governors who run this economy for wealth creation prosperity.
Reagan did it all without slashing interest rates. An expanding economy sponges up excess currency and one does not have to cut rates to stimulate economies nor raise rates to cut growth due to inflation as an expanding economy out produces demand upon competition.
America's problem is dolts like Velshi who are hired by Rockefeller and the Fed Reserves foreign controllers of Rothschild to keep people ignorant while they are busy producing massive debt and using bubbles to create inflation wealth they then shear off the masses of sheep their few dollars.
I repeat Velshi just called for economic warfare on the poor..........and for the record, this economy has been in recession since LBJ spent America into oblivion in Vietnam and his war on poverty where trillions were wasted.
Nixon tried price controls when the gold standard tanked and to get elected he opened the government buying presses. Carter imploded it all to take back the Nixon inflationary wealth and nearly destroyed the US economy.
Ronald Reagan for his 8 years has been the only leader who understood economic principles, but did not have leverage to implement and protect his trading partners who were later sheared by the globalists.
None of this is difficult. It just needs Americans who put the American citizens first and then the whole thing generates vasts quanties of wealth and not debt.
*HIC IACET ARTORIVS REX QVONDAM REXQVE FVTVRVS
Very Telling
December 12, 2007 - 20:17 ET by fitzfong"[A]nd by the way, we get a fair amount of criticism at CNN about the fact that we have these conversations, but mine is not to start a recession or stop one. It's to tell you what you guys are thinking about a recession and see where it goes."
Yes, I've seen this "journalistic" line of reasoning before from "objective journalists" (and from CNN's very own Ted Turner) when discussing the war on terror. They claim that their "objectivity" requires them not to take sides against America's enemies in reporting the news. Quotes like these show exactly where CNN's sympathies lie...with our enemies.