Fed's Figures of Speech Not Meaningful

Why should we believe the Fed at this point? Why should we believe what they say?

Do you expect them to say, after a ton of tightenings, that "we are done because we are satisfied with the weaker data"? Or do you expect the Fed to say "the long bond is right so we have to cut"?

If they see weak data, they will react. If they see strong data, they will react.

Ever since I saw the "highly regarded" Dick Fisher, one of these Fed pooh-bahs, say that we were in the late innings of tightenings when we were actually just starting the game, I don't care what they say. They are simply misdirection players, trying to throw you off.

Worse, the media gloms on to these comments as if each speaker is the guy who matters. How ridiculous. The Fed is secretive. It doesn't just give you a heads up. Go look at Confessions of A Street Addict, in which I wrote about how Greenspan was talking tightening up until the week he did an emergency ease.

Don't get faked out by these guys. Most of them are just blathering because they have to blather and it is always better to say that the Fed needs to fight inflation than say it needs to aid it, which is how the bond market hears the "we may not need to tighten any more" lingo.

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