Why the Federal Reserve Controls So Much of the Economy | WSJ

Sdílet
Vložit
  • čas přidán 6. 06. 2024
  • The Federal Reserve is central to the U.S. economy today, and it’s controlled by just 12 people. Its monetary policies can lower inflation or even spark a recession. The central bank says it’s dedicated to achieving its goals set by Congress to maximize employment and maintain price stability, but some of its decisions like raising interest rates are not always popular with Americans.
    WSJ explains how the Fed became the power it is today and why it plays such a major role in the country.
    0:00 Economic policies
    1:02 The Fed’s creation
    2:59 The FOMC’s creation
    4:11 Great Inflation
    6:18 Great Recession
    8:07 Covid-19
    News Explainers
    Some days the high-speed news cycle can bring more questions than answers. WSJ’s news explainers break down the day's biggest stories into bite-size pieces to help you make sense of the news.
    #Fed #Economy #WSJ

Komentáře • 409

  • @SeanTalkoff
    @SeanTalkoff Před 9 dny +1004

    It's quite simple why rates are climbing with rising imports and falling exports, the FED is obviously to be blamed for banking crisis. Something will eventually break if they keep the quantitative tightening and higher interest rates. Is this really a good time to have some savings in stocks?

    • @DavidCovington-st2id
      @DavidCovington-st2id Před 9 dny +3

      From austerity measures to Brexit, and now with widespread bank failures, it's crucial to conduct your own research and seek advice from a licensed advisor before considering investments in these volatile markets.

    • @tmer831
      @tmer831 Před 9 dny +2

      Yeah, financial advisors could make a lot of difference, particularly in a market such as this. Stocks are pretty unstable at the moment, but if you do the right math, you should be just fine. Bloomberg and other finance media have been recording cases of folks gaining over 250k just in a matter of weeks/couple months, so I think there are a lot of wealth transfer in this downtime if you know where to look. I have been using an FA since 2019, and I return at least $121k ROI, and this does not include capital gain.

    • @SteveDutton-v
      @SteveDutton-v Před 9 dny +1

      nice! once you hit a big milestone, the next comes easier.. who is your advisor please, if you don't mind me asking?

    • @tmer831
      @tmer831 Před 9 dny

      Vivian Carol Gioia is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

    • @SteveDutton-v
      @SteveDutton-v Před 9 dny

      I find this informative, curiously explored Vivian Carol Gioia on the web, spotted her consulting page, and was able to schedule a call session with her, she shows quite a great deal of expertise from her resume.. very much appreciated

  • @Patriciabanks5
    @Patriciabanks5 Před 12 dny +945

    Most Americans find it hard to retire comfortably amid economy downtrend. Some have close to nothing going into retirement, my question is, will you pay off mortgage as a near-retiree, or spread money for cashflow, to afford lifestyle after retirement?

    • @ritalorrigan
      @ritalorrigan Před 12 dny +4

      as most investing-related questions, the answer is, it depends.. my best suggestion is to consider advisory management

    • @KevinClarke9
      @KevinClarke9 Před 12 dny +3

      Agreed, the role of advisors can only be overlooked, but not denied. I remember in early 2020, during covid-outbreak, my portfolio worth around 300k took a slight fall, apparently due to the pandemic crash, at once I consulted an advisor in order to avoid panic-selling. As of today, my account has yielded big fat yields, and leverages on 7-figure, only cos I delegate my excesses right.

    • @ScottArmstrong12
      @ScottArmstrong12 Před 12 dny +3

      this is huge! mind if I look up the advisr that guides you please? only invest in my 401k through my employer for now, but enthused about diversifying my investments for a prosperous financial future

    • @KevinClarke9
      @KevinClarke9 Před 12 dny +3

      Carol Vivian Constable is the licensed fiduciary I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment..

    • @ScottArmstrong12
      @ScottArmstrong12 Před 12 dny +2

      very much appreciated, your response suggests a person of benevolence.. just inputted her full name on my browser, and came across her site, top-notch qualifications! she seems well-qualified

  • @NicholasBall130
    @NicholasBall130 Před měsícem +580

    The system is failing as a result of both government and federal policy. In the next days, the banking crisis would have to be epic and gigantic for the FED to decide not to raise interest rates. This won't happen; an increase and a crash are coming. There will be more negative portfolios this 2nd half of 2024 with markets tumbling, soaring inflation, and banks going out of business. My concern is how can the rapid interest-rate hike be of favor to a value investor, or is it better avoiding stocks for a while?

    • @EleanorBaker474
      @EleanorBaker474 Před měsícem +5

      Just ''buy the dip'' man. In the long term it will payoff. High interest rates usually mean lower stock prices, however investors should be cautious of the bull run, its best you connect with a well-qualified adviser to meet your growth goals and avoid blunder

    • @StacieBMui
      @StacieBMui Před měsícem +2

      Very true, you can be passively involved in the markets and still amass wealth-gains using an investment advisor. I first dabbled in stocks late 2019, just before the pandemic, and that same year gained over 150% with no prior investing experience, basically all I was doing was following directions of my advisor. We are working on a retirement ballpark of $3m and I’m certain my goal isn’t farfetched after subsequent investments and tremendous returns so far.

    • @StocksWolf752
      @StocksWolf752 Před měsícem +2

      My portfolio has been in the gutter for the entire year, so I started researching new ways to profit in the market, but everything I tried just seemed to miss the mark. Please let us know the name of your financial advisor.

    • @StacieBMui
      @StacieBMui Před měsícem +2

      Credits goes to " Sonya lee Mitchell" one of the finest portfolio managers in the field. She's widely recognized; you should take a look at her work.

    • @VictorBiggerstaff
      @VictorBiggerstaff Před 20 dny +2

      I searched her up, and I have sent her an email. I hope she gets back to me soon. Thank you

  • @micheal_mills
    @micheal_mills Před měsícem +788

    The only American who won't acknowledge this Administration's failed economic policies is Joe Biden. "Shrink-flation' is the least of our worries compared to rising rents and stagnant wages, but it is an undeniable indicator of how bad our inflation has gotten. I have $100k that i like to invest in a non-retirement account, any advice on that?

    • @donna_martins
      @donna_martins Před měsícem +5

      I would avoid index funds, mutual funds, and specific stocks for the time being. Right now, the best option is a fixed income of five percent. Put money aside for the times when the market really starts to bounce back.

    • @robert-1miller
      @robert-1miller Před měsícem +5

      45% of Americans do not invest in the stock market because of lack of guidance. Every year you don't invest, you are falling behind. I’m hitting numbers in the stock market I used to dream of… Going from $50k to $600k in my portfolio is surreal all thanks to insights from my financial advisor.

    • @ilyaveysman.
      @ilyaveysman. Před měsícem +3

      It appears that your investment advisor is highly skilled. Could you please let me know if you are still in contact with this advisor and, if so, how?

    • @robert-1miller
      @robert-1miller Před měsícem +3

      Finding financial advisors like ‘vivian jean wilhelm’ who can assist you shape your portfolio would be a very creative option. There will be difficult times ahead, and prudent personal money management will be essential to navigating them.

    • @ilyaveysman.
      @ilyaveysman. Před měsícem +1

      Thanks for sharing, I just liquidated some of my funds to invest in the stock market, I will need every help I can get.

  • @Mr-sweeny
    @Mr-sweeny Před 2 měsíci +633

    Our economy is like a flailing fish, fighting for its life. The normal state of the U.S. economy is actually very bad. Because of this it goes into convulsive spasms fighting to grow any way it can out of desperation. Tricks, gimmicks, rule changes try to stimulate the economy and prevent it from falling but they only bring temporary relief to people since, when you factor in inflation we are declining.

    • @Nernst96
      @Nernst96 Před 2 měsíci +1

      People believe their currency has the worth it does because they have no other option. Even in a hyperinflationary environment, individuals must continue to use their hyperinflationary currency since they likely have minimal access to other currencies or gold/silver coins.

    • @PatrickLloyd-
      @PatrickLloyd- Před 2 měsíci +1

      Inflation is gradually going to become part of us and due to that fact any money you keep in cash or in a low-interest account declines in value each year. Investing is the only way to make your money grow and unless you have an exceptionally high income, investing is the only way most people will ever have enough money to retire.

    • @PhilipDunk
      @PhilipDunk Před 2 měsíci +1

      I've tried investing in the stock market several times but always got discouraged by fluctuations of stock value. I would be happy if you could advise me based on how you went about yours, as I am ready to go the passive income path.!!

    • @PatrickLloyd-
      @PatrickLloyd- Před 2 měsíci

      ‘Amber Dawn Brummit’ is the licensed advisor I use. Just research the name. You’d find necessary details to work with a correspondence to set up an appointment.

    • @PhilipDunk
      @PhilipDunk Před 2 měsíci +1

      Thank you for the lead. I searched her up, and I have sent her an email. I hope she gets back to me soon.

  • @madesquire2796
    @madesquire2796 Před 10 měsíci +251

    HE DID NOT SAY "MONEY PRINTER GO BRRR" 💀😂

    • @jessek.5899
      @jessek.5899 Před 10 měsíci +7

      😂

    • @jesustsa1
      @jesustsa1 Před 10 měsíci +18

      He didn’t! That was actual audio of a money printer 😅

  • @WestonScally7614
    @WestonScally7614 Před měsícem +650

    I am at the beginning of my "investment journey", planning to put $400K into dividend stocks so that I will be making up to 15% per year in dividends. Any advice?

    • @FelineAirstrip
      @FelineAirstrip Před měsícem +2

      Look up dividend aristocrats. Pick six to ten from that list. Those companies have a track record of 25+ years of paying dividends. Also, its advisable you work with a financial advisor to help set up a well-structured portfolio.

    • @louis71350
      @louis71350 Před měsícem +8

      Consider diversifying your portfolio with a mix of stocks and stable assets. Seeking professional advice now could provide valuable insights and strategies to navigate market uncertainties and protect your investments.

    • @PotBellyPete69
      @PotBellyPete69 Před měsícem +5

      Partnering with a financial advisor has transformed my approach to investing. Their expertise and personalized guidance have not only helped me navigate complex financial markets but also optimized my portfolio to achieve my long-term goals efficiently.

    • @AddilynTuffin
      @AddilynTuffin Před měsícem +4

      This is definitely considerable! think you could suggest any professional/advisors I can connect with? I'm in dire need of proper portfolio allocation

    • @PotBellyPete69
      @PotBellyPete69 Před měsícem +4

      *Jennifer Leigh Hickman* has always been on the top of my list..She is regarded as a genius in her area and well knowledgeable about financial markets.

  • @LuisLascanoValarezo
    @LuisLascanoValarezo Před 10 měsíci +155

    Printing money for artificial inflation is basically taxing people that have cash savings

    • @badluck5647
      @badluck5647 Před 10 měsíci +26

      It has also been a great business opportunity for businesses to earn more profit. They justify price increases by pointing to inflation while the wage increase becomes inelastic by comparison.

    • @robertbruhcuh3634
      @robertbruhcuh3634 Před 8 měsíci

      @@badluck5647rich people getting rich broke people getting dug deeper

    • @DippedInInk
      @DippedInInk Před 7 měsíci +1

      Is it?

    • @programking655
      @programking655 Před 5 měsíci +1

      Except that nominal interest rates adjust upwards, so no, it’s not taxing anything

    • @babybison2881
      @babybison2881 Před 4 měsíci

      ​@@programking655 no, he's right. It's free money for the Fed. It's not backed by anything. They artificially inflate or deflate interest rates. All in the name of making money off the average American. It's a tax no matter how you look at it.

  • @lakeguy65616
    @lakeguy65616 Před 10 měsíci +154

    The Fed's response to a crisis is often the catalyst for a future crisis that requires Fed intervention. The process repeats ad infinitum.

    • @greg4367
      @greg4367 Před 10 měsíci +5

      Ad infinitum, ad nauseam, never EVER learning from their mistakes.

    • @kaig9707
      @kaig9707 Před 10 měsíci +5

      Ad infinitum… until the currency collapses.

    • @Acteaon
      @Acteaon Před 10 měsíci +2

      And yet we don’t reconsider something else

    • @teEnTYoNG
      @teEnTYoNG Před 10 měsíci +1

      ​@@Acteaonlaissez-faire free banking

    • @_ata_3
      @_ata_3 Před 10 měsíci

      Sure lakeguy65616

  • @anujmeena
    @anujmeena Před 10 měsíci +59

    I was hoping for more detailed analysis

    • @mmorphy4258
      @mmorphy4258 Před 4 měsíci +1

      go to Edward G Griffin for that

    • @denovo62
      @denovo62 Před 3 měsíci

      In 9 minutes? This was a total propaganda piece. Wall Street and the Fed are two sides of the same coin and with this being a Wall Street Journal piece go figure. The presidents and Congress are beholden to the Fed not the other way around. The Fed is the real mafia and the CIA is their intelligence arm. At it's establishment in 1914 on the eve of WWI, you could say that was the official coup of the United States of America. Both world wars were their doing. And not only the oil of the middle east was their goal but esp the chemical industry of Germany that brought us into the modern petrochemical world post WWII. Plus the extinguishing of socialism in Russia and Germany that gave fire to our labor revolts in the early twentieth century. And all of this has been accomplished going forward with the establishment of the Breton Woods financial instruments like the IMF and World Bank that allowed the U.S. to convert all the colonies of Britain, France, etc into financial colonies and the takeover of their industries and raw resources thru debt ridden structural adjustment loans and CIA coups. All Wars are Banker's Wars is a short half hour doc that gives some history here. I think the other commenter above suggested another. Predator Nation is an essential book to check out, by the author/director of the best documentary out there on the subprime mortgage crisis but who also details the fifty year takeover of our economy via the financial crises that have littered every decade since Nixon took us off the gold standard and the Fed began it's rise again following the New Deal and Glass Steagall legislation during the great depression that separated wall street from banking. The savings and loan crises of the 80s, the mergers and acquisition and hostile takeover phase that followed, and all the creative, ie manipulative financial instruments that each crisis gave them more money and subsequent power to destroy the regulatory laws that kept them in check, leading to the dissolving of glass steagall end of 1990s and onward onto the subprime mortgage crisis of 2008. Frank Dodd was essentially written by them and had allowed for the rise of Black Rock and Vanguard and other private equity firms and all the qualitative easing that's ensued thus which is really about privatizing not only our economy but the rest of the world's too via all these wars which are being paid for with printed money. We don't have a real economy anymore. Wars aren't sustainable, the sickness industry isn't sustainable and most factories have been farmed out to other countries to be able to exploit their cheap labor and lax pollution laws, etc, that their ability to bring us under total control in order to bring about their next grand war will be as easy as flicking the first domino piece and it all falling into place for them. They hate riots and protests when they orchestrate these ugly wars and takeovers so they're doing everything possible to thwart every natural movement before it has a chance to turn into a real flame of an uproar.

    • @libertycoffeehouse3944
      @libertycoffeehouse3944 Před 6 dny

      It is a criminal organization. It murders people. Get it!

  • @nicolasbenson009
    @nicolasbenson009 Před 8 měsíci +121

    We Are in Unchartered Financial Waters! every day we encounter challenges that have become the new standard. Although we previously perceived it as a crisis, we now acknowledge it as the new normal and must adapt accordingly. Given the current economic difficulties that the country is experiencing in 2023, how can we enhance our earnings during this period of adjustment? I cannot let my $680,000 savings vanish after putting in so much effort to accumulate them.

  • @AUstinnesc
    @AUstinnesc Před 9 měsíci +105

    Taking early notes from Warren as to the importance of sound asset diversification and risk management It can’t be overstated. I’ve been trying to grow my portfolio of $300K for sometime now, I would greatly appreciate any other suggestions.

    • @corrySledd
      @corrySledd Před 9 měsíci +2

      Well the bigger the risk, the bigger the reward and such impeccable decisions are better guided by professionals

    • @sheltonPston
      @sheltonPston Před 9 měsíci +1

      Yes true, I have been in touch with a financial advisor. With an initial starting reserve of $80k, my advisor chooses the entry and exit commands for my portfolio, which has grown to approximately $550k.

    • @McElvinn
      @McElvinn Před 9 měsíci +2

      I’ve been looking to switch to an advisor for a while now. Any help pointing me to who your advisor is?

    • @sheltonPston
      @sheltonPston Před 9 měsíci +5

      There are a lot of independent advisors you might look into. But i work with Nicole Desiree Simon , and she is excellent. You could proceed with her if she satisfies your discretion. I endorse her

    • @McElvinn
      @McElvinn Před 9 měsíci +1

      Thanks for sharing, I just looked her up on the web and I would say she really has an impressive background in investing. I will write her an e-mail shortly.

  • @luisespinoza2929
    @luisespinoza2929 Před 10 měsíci +54

    The moment she broke script just to make the brrr sound killed me 😂

  • @chrish3305
    @chrish3305 Před 2 měsíci

    Great overview, thanks

  • @benjaminlehman3221
    @benjaminlehman3221 Před 10 měsíci +84

    Part of economics is that there are recessions and troughs. If the fed never lets things fail and prices go down then inflation will continue.

    • @eco-nutjob
      @eco-nutjob Před 10 měsíci

      No, that is part of the broken system of capitalism. The Fed is just a puppet attempting to 'control' inflation and interest rates, while realistically, these things are not controllable.

    • @I-Know-Best
      @I-Know-Best Před 10 měsíci +7

      What are you talking about?
      "If the fed never lets things fail and prices go down then inflation will continue"
      ???
      Thats called DEFLATION

    • @josephlynch7655
      @josephlynch7655 Před 10 měsíci +2

      Deflation is bad actually

    • @tomlxyz
      @tomlxyz Před 10 měsíci +4

      Recessions aren't necessary, they're just the product of the current system

    • @weird-guy
      @weird-guy Před 10 měsíci +1

      You want deflation?
      Every country has a target of 2% inflation , now that inflation is coming down most prices will not come down, governments were to slow imo to increase interest and stop “the bleeding”.
      My country right now has inflation of 3,4%, the only prices that come down was petrol/diesel, essential products because the government changed vat from 6% to 0%,electricity I think is predicted to come down but nothing more, mortages on loans of 150K€ increased 200€,we have a housing crisis because we need immigration but there not enough houses do to the previous financial crisis, my government right now has more money than ever before but the tax burden is the highest it ever been, but people are worst off

  • @vincentstewart1843
    @vincentstewart1843 Před 3 měsíci +21

    Should I give up on Trade?
    What should I do?
    How may I do better?
    What I'm I doing incorrectly?

    • @vincentstewart1843
      @vincentstewart1843 Před 3 měsíci

      here is my problem I have been making losses trying to make trade. I thought to trade demo is just like the real..can anyone help me out or at least tell me on what to do.

    • @maureen...
      @maureen... Před 3 měsíci

      I always advice new members to have an orientation on how it works before getting involved. Trade offers more benefits than just holding.

    • @maureen...
      @maureen... Před 3 měsíci

      Kate Floretta
      Face book

    • @Mayor1248
      @Mayor1248 Před 3 měsíci

      having a mentor is also very important when it comes to Trade, with out that, it can be very frustrating.

    • @Mayor1248
      @Mayor1248 Před 3 měsíci +1

      you must have these things in mind
      1. Have a long term mindset.
      2. Be willing to take *risk*.
      3. Be careful, if you're not spending to earn back, then stop spending.
      4. Never claim to know - Ask questions and it's best you work with an assistant.

  • @shellylofgren
    @shellylofgren Před 10 měsíci +89

    The market and the Fed consistently underestimate the sticky nature of inflation. The markets are still unsure if the Federal Reserve will continue to its plan to raise interest rates until inflation is under control, despite the fact that bond yields are rising while stock prices are falling. What is the greatest strategy to take advantage of the current bear market while I'm still deciding whether to sell my $401k worth of stocks?

    • @berkrix4312
      @berkrix4312 Před 10 měsíci +4

      Even though there will probably be more pain in the future, investors should look for stocks like Royal Philips NV and Alstom SA that have been sufficiently battered down to be a bargain or get a great portfolio manager.

    • @theresahv
      @theresahv Před 10 měsíci +3

      That's why I'm creating more income streams that I have complete control over. These will take me places that my day job never could. The earlier you start investing your money and putting it to work, the more time compound interest has to work its magic on your portfolio. This is how I'm going to achieve early retirement and it's possible for everyone. understand , know the path needed and stay committed to the craft

    • @jeffery_Automotive
      @jeffery_Automotive Před 10 měsíci +3

      @@theresahv How are we going to achieve all that given that the market has being a mess most of the year seems farfetched. I keep hearing that the market is pricing in a 60% probability of a 75 hike. But isn’t it also pricing in a dovish fed that’s going to pívot relatively quickly?

    • @theresahv
      @theresahv Před 10 měsíci +3

      My advisor Julie Anne Hoover’is highly qualified and experienced in the financial market. She has extensive knowledge of portfolio diversity and is considered an expert in the field. I recommend researching her credentials further. She has many years of experience and is a valuable resource for anyone looking to navigate the financial market.

    • @jeffery_Automotive
      @jeffery_Automotive Před 10 měsíci +2

      @@theresahv Thank you for this tip , I must say, Julie Anne Hoover appears to be quite knowledgeable. After coming across her online page, I thoroughly went through her resume, educational background, and qualifications, and I must say, it was quite impressive. I reached out to her, and I have booked a session with her.

  • @haythamal-dokanji9547
    @haythamal-dokanji9547 Před 9 měsíci +1

    Informative and stylish presentation. Keep it up WSJ.

    • @Brandon-xp1ob
      @Brandon-xp1ob Před 6 měsíci

      It's not informative, it's propaganda

  • @FenellaMarshall
    @FenellaMarshall Před 10 měsíci +23

    The points in the video I very much agree with my advisor, in meetings with him I often hear class him say these. Even he is often on the news and mentioned many times in some interviews. People can also raise these issues with him. By his name.
    Dan Price CFA.

    • @NguyenThanh-in7gf
      @NguyenThanh-in7gf Před 10 měsíci

      How to find him.

    • @FenellaMarshall
      @FenellaMarshall Před 10 měsíci

      @@NguyenThanh-in7gf If you need a broker recommendation, I recommend
      Dan Price C FA.

    • @FenellaMarshall
      @FenellaMarshall Před 10 měsíci

      @@NguyenThanh-in7gf You can find him online and I have learned a lot from him.

    • @07gang80
      @07gang80 Před 10 měsíci

      I had the pleasure of meeting the advisor, Mr. Dan Price. His expertise as an investment mentor is outstanding. With his guidance, I was able to successfully achieve my investment goals. I truly appreciate his help and support! I look forward to continuing to work with him for more investment success!

  • @nevoobrazimiy
    @nevoobrazimiy Před 10 měsíci +17

    My God, I so love WSJ approach in these shorts!

  • @marisahokefazi2949
    @marisahokefazi2949 Před 10 měsíci +14

    In the 1980s and 1990s one could subscribe to newsletters from each fed bank and would be sent these wonderful informative financially Educated news letters. Then for some reason they decided to stop. That was a terrible idea because it really hurt financial literacy. The fetch of start making those news letters available again.

    • @riddell26
      @riddell26 Před 8 měsíci +1

      You literaly paid for propaganda, and got upset that they stopped sending propaganda

  • @weirdshibainu
    @weirdshibainu Před 10 měsíci +31

    "The Fed is just this poorly understood and really important institution in our country"....and the Fed likes it like that.

  • @_ata_3
    @_ata_3 Před 10 měsíci +2

    How are politics and economic policies different?

  • @Howaboutyoublow
    @Howaboutyoublow Před 10 měsíci +72

    “Business and politicians got together and decided that relying on wealthy people to do the right thing was not the best option… so we created the fed” translates to “Bankers realized it was too expensive to pay for their mistakes, so they came up with a way to steal your money indirectly instead”

    • @19MAD95
      @19MAD95 Před 10 měsíci +8

      The perfect comment

    • @bolasblancas420
      @bolasblancas420 Před 9 měsíci +1

      Laisser-faire no more.

    • @rhymerez
      @rhymerez Před 9 měsíci +1

      got together should be replaced with took a train in secret to jekyll island to craft it, then passed the legislation also in secret when most people were enjoying christmas and new years.

    • @libyann9385
      @libyann9385 Před 8 měsíci

      Yes

    • @DippedInInk
      @DippedInInk Před 7 měsíci

      U actually believe that?

  • @sureshnishtala2887
    @sureshnishtala2887 Před 10 měsíci +7

    Very well Explained about the origins of The Federal Reserve.
    It started with a crises and learning at each and every crises.

  • @omercakmak3099
    @omercakmak3099 Před 9 měsíci

    what is the model of the car in 6:22 ?

  • @mariavictoriacaringal6795
    @mariavictoriacaringal6795 Před 4 měsíci

    How can I exchange my Federal Reserve Notes 1934-A 1000$ ? Where do I go to have it exhanged for the current rate? Thank you.

  • @vinesthemonkey
    @vinesthemonkey Před 2 měsíci +1

    the issue at the start was FRACTIONAL RESERVE BANKING

  • @juannajera881
    @juannajera881 Před 27 dny

    The 350 grocery receipts got me here 😂😂

  • @DevonLadd
    @DevonLadd Před měsícem

    Very nice

  • @eddieloujones2673
    @eddieloujones2673 Před 7 měsíci +2

    Printing money is like reverse Robin Hood. Steal from the poor to give to the rich.

  • @andis9076
    @andis9076 Před 10 měsíci +6

    Not just US, it's the WHOLE WORLD !

  • @davisoaresalves5179
    @davisoaresalves5179 Před 10 měsíci +15

    The most powerful institution in the world.

  • @rustyschackleford5800
    @rustyschackleford5800 Před 10 měsíci +26

    The FED doesn't control all interest rates. They can affect short term rates and manipulate the bond market, but they don't simply "raise rates." The capital markets are bigger than the FED.

    • @cbatchler
      @cbatchler Před 10 měsíci +14

      I get what you are saying but 90% of HELOC, commercial lines, and loans are tied to the prime rate which is fed funds +3, so when the fed changes that rate all those loans follow. That's a huge influence and everything else would be priced and correlated to that. Good old supply and demand.

    • @Adam_The_Archivist
      @Adam_The_Archivist Před 10 měsíci +2

      @@cbatchlerno actually most mortgages, corporate debt and to a lesser extent home mortgages are tied to the 10 yr Treasury rate. You are correct on the +3%. If you look at the current 10 year and add 3% you are at the national average of roughly 7% give or take..

    • @cbatchler
      @cbatchler Před 10 měsíci +4

      @@Adam_The_Archivist Not really, what you are saying is the correlation or spread of two different loan products. If that were true then why do I have a 3.25% mortgage in Oct of 2016 when the 10-year was at 1.7%? That would suggest my mortgage should be 4.7% and not 3.25%, Right? Think of it this way, on a highway the speed limit is 55 MPH but most cars are going 60, some going 65-70 and some 75 MPH. Those cars are willing to take the risk of going faster just as investors are willing to pay different rates for different products and as speed limits change so does their speed. So the loans aren't tied to the 10-year Treasury, that is just a frame of reference to compare other loan rates too. I have a commercial line of credit with Key Bank and it says the rate is 6 points plus the prime rate, it doesn't say anything about the 10-year US Treasury in its pricing model, nor have I ever seen a loan price itself to the 10 year. Hence the Fed sets the line and every one prices and moves around that line and then supply and demand sets in just like a speed limit.

    • @ISpitHotFiyaa
      @ISpitHotFiyaa Před 10 měsíci

      Historically that's true. But at this point their balance sheet is so huge that they pretty much do control the bond market. If they unloaded all their mortgage backed securities at once then long term rates would spike. Or they could drop rates to 2% by printing money and buying mortgage backed securities like they did in 2020. They don't operate according to the economics textbooks anymore. Things changed in 2008.

    • @tomlxyz
      @tomlxyz Před 10 měsíci

      They can affect much more if they wanted

  • @prairiepatriot2162
    @prairiepatriot2162 Před 10 měsíci +25

    At some point, you have to take the training wheels off and let bad economic (fiscal) policy run its course; if people had to suffer the consequences of bad election decisions, they might vote smarter. Eventually if you keep inflating a balloon (money supply) it will pop. Deficits and debt cannot be increased indefinitely without consequence. Which is more painful, recessions or a currency collapse; anyone who's lived under socialism can tell you that it is the latter.

    • @microsoftpain
      @microsoftpain Před 10 měsíci +2

      finally, someone with a brain. 💀

  • @Pyrrhic.
    @Pyrrhic. Před 10 měsíci +22

    Fun fact, when surplus trading nations like China, Saudi Arabia, and Japan invest their USD reserves in treasuries instead of converting it to their own currency, that pushes down long term or shorter interest rates, depending what maturity they buy. Feds can’t control that.

    • @tomlxyz
      @tomlxyz Před 10 měsíci +4

      Yes, that's mainly what keeps the US afloat. Import wares, export investments and USD debt

    • @Pyrrhic.
      @Pyrrhic. Před 10 měsíci +8

      @@tomlxyz it’s also to keep their own currency devalued, making their exports more attractive. Also US financial markets is arguable the best in the world to invest their profits.

    • @damnguen1726
      @damnguen1726 Před 9 měsíci

      @@Pyrrhic.maybe their currencies are so devaluated that even they dont want to hold them :v

    • @pinkietoes
      @pinkietoes Před 8 měsíci +2

      Your claim makes no sense since Tbills are short-term government debt instruments without any interest rate, but instead purchased at a discount.

    • @riddell26
      @riddell26 Před 8 měsíci

      The Feds dont even control the Federal Reserve

  • @philthy941
    @philthy941 Před 10 měsíci +3

    End the Fed.

  • @nathanaeltekalign2508
    @nathanaeltekalign2508 Před 4 měsíci +1

    The Federal Reserve confuses monetary inflation with non-monetary inflation. Monetary inflation is caused by an increase in the money supply. The inflation of the 1970s was monetary inflation because the Nixon Shock happened during 1971. The inflation that happened during 2022. Non-monetary inflation was caused by supply chain issues that would have gone away even if interest rates were never raised in the first place. Therefore, interest rate increases were inappropriate during 2022, even if they appropriate during 1978. Also, the Federal Reserve should focus on the rate that the money supply increase rather than the inflation rate.

  • @pwp8737
    @pwp8737 Před 10 měsíci +6

    Hmm...so oligarchs decided to socialize the risks of banking and privatize the profits. Aint capitalism grand?

  • @teashea1
    @teashea1 Před 10 měsíci +12

    very well done. effective to minimize the number of experts instead of having many. excellent.

  • @cbbcbb6803
    @cbbcbb6803 Před 10 měsíci +2

    It seems to me that the Federal Reserve actually makes (prints) money. Regular people get money by, hopefully, "earning" it.
    Keep in mind that economy and the financial are not the same thing as the people. The economy can be great and, at the same time, people may not be doing well at all.

  • @LhotseMS
    @LhotseMS Před 4 měsíci +4

    I love how they just glance over “but bank don’t keep that much money” - maybe the fractional reserve system is the issue?

  • @Danny-fs1hk
    @Danny-fs1hk Před 10 měsíci +2

    This was an excellent segment. They explained the Fed in simple terms.

  • @alberthoffman5297
    @alberthoffman5297 Před 6 měsíci +2

    I think this comment section needs to attend a mandatory economics class

  • @victorco.6308
    @victorco.6308 Před 10 měsíci

    responsible and necessary decisions are not always popular

  • @boitumelosekgothe
    @boitumelosekgothe Před 10 měsíci +2

    @Wendoverproductions I think you can do a better job producing a video on this topic of central banks.

  • @JesusGarcia-nc1ld
    @JesusGarcia-nc1ld Před 11 dny

    “Money printer go brrrr!” 😂😂

  • @sunalwaysshinesonTVs
    @sunalwaysshinesonTVs Před 10 měsíci +2

    Wait? What's there to explain? Regan told me running the American economy is like running a household budget -easy peesy.

  • @zayseeu8337
    @zayseeu8337 Před 9 měsíci +1

    how can i work there

  • @JamesFarming
    @JamesFarming Před 10 měsíci

    Why did the WSJ stop making videos?

  • @claudiobv01
    @claudiobv01 Před 10 měsíci +2

    Why the fed controls so much the economy?? 😂😂 that’s a good one!

  • @f.anvary7783
    @f.anvary7783 Před 10 měsíci +16

    I can explain it in 9 seconds! Bunch of criminals who never get caught!!

  • @OzgurFatih
    @OzgurFatih Před 14 dny

    Yaar 4ra ke birthday bonus ne toh dil khush kar diya, apne din pe special feel hota hai 🎂🥳

  • @masterstacks2030
    @masterstacks2030 Před 10 měsíci +1

    END THE FED

  • @1ovejuju
    @1ovejuju Před 10 měsíci

    Someone about to make that "Money go brrr" into a tiktok sound

  • @michaelyoon9355
    @michaelyoon9355 Před 6 měsíci

    Printing money recklessly without having an answer for declining real income growth for the vast majority of people is irresponsible.

  • @Hokua888
    @Hokua888 Před 10 měsíci

    Yea.

  • @loukramer152
    @loukramer152 Před 10 měsíci +5

    The fed may have taken the punch bowl away, but the WSJ reporting drank the Koolaid anyway!

  • @chaiszcash4206
    @chaiszcash4206 Před 3 měsíci

    This video was BOMB 💣 boom lol

  • @mckcpaul1
    @mckcpaul1 Před 9 měsíci +1

    This video shows you that the FED after 113 years from its inception still has barely a clue of what it is actually doing, still throwing things and solutions against the wall to see if they stick, how much longer are people going to put up with dangerous cartel!

    • @Brandon-xp1ob
      @Brandon-xp1ob Před 6 měsíci

      On point. Only buerocrats can do a job so terribly for decades and still exist. I hear the central banks in Argentina and Lebanon are doing well though😂🤦

  • @fieldboy7507
    @fieldboy7507 Před měsícem

    THE CRAZZY PART IS THAT WE ARE LIVING IN THE HYPER INFLATION N ITS ONLY GONNA GET MORE WORSE FROM NOW ON

  • @BUBBLETEABOY
    @BUBBLETEABOY Před 10 měsíci

    Money Machine goes brrrr

  • @OmerHazan-wt5dl
    @OmerHazan-wt5dl Před 14 dny

    Haan yaar, 4RA pe deposits bhi bohot easy hain, bohot saare options hain, maza aata hai 😃🎉

  • @nonyabuiz2023
    @nonyabuiz2023 Před 4 měsíci

    Why is Interest paid on fiat currency?

  • @ranickhaan
    @ranickhaan Před 2 měsíci

    This only confirms government is never the answer.

  • @Lazaven
    @Lazaven Před 3 měsíci

    So we’re not gonna talk about Jeckle island?

  • @usasylee3919
    @usasylee3919 Před 10 měsíci +6

    Bernanke planted a time bomb. You can't stop it :(

    • @Pyrrhic.
      @Pyrrhic. Před 10 měsíci +2

      It started with Greenspan to be honest

    • @raybod1775
      @raybod1775 Před 9 měsíci

      Nobody created as much money as the current Fed.

  • @jakemcgrath9708
    @jakemcgrath9708 Před 10 měsíci

    “Tell him that we’re gonna lock him up in the federal reserve!”

  • @microsoftpain
    @microsoftpain Před 10 měsíci +1

    END THE FED!

  • @markhirstwood4190
    @markhirstwood4190 Před 10 měsíci +1

    Timiraos says 'imporduhn' (important).

  • @BerkanTuba
    @BerkanTuba Před 14 dny

    Bhai 4ra ke variety of games se kabhi bore nahi hote, hamesha kuch naya khelne ko milta hai 💥😃

  • @ClassicNed
    @ClassicNed Před 10 měsíci

    But here’s the problem! The central bank’s in Europe, have played a dominant role on members who chair the Federal Reserve.

  • @remsee1608
    @remsee1608 Před 10 měsíci +8

    Its a way for them to steal your money

  • @masterstacks2030
    @masterstacks2030 Před 10 měsíci

    The 70s inflation was from the depeg from gold

  • @Selimismail-oc3rb
    @Selimismail-oc3rb Před 14 dny

    Haan yaar suno 4ra pe special promotions chalte rehte hain, festival time pe toh maza hi aa jata hai 🎉🔥

  • @hans6304
    @hans6304 Před 10 měsíci +3

    Very rich institution.

  • @lakeguy65616
    @lakeguy65616 Před 10 měsíci +13

    The problem is since 1977, the Fed is tasked with a dual mandate; full employment & price stability. Full employment creates inflation and low inflation requires some level of unemployment. Return the Fed to a single task of price stability. I'd go one step further, Iimit the Fed's ability to grow the money supply to growth in GDP. The Fed's policies created today's inflation.

    • @greg4367
      @greg4367 Před 10 měsíci +2

      That isn't the problem, it's the cover story.

    • @gund89123
      @gund89123 Před 10 měsíci +4

      US has not seen high inflation in decades.
      Inflation we see today is most because of COVID disruptions, federal government spending on PPP loans & writing checks to people during COVID, & supply chain disruptions.

    • @lakeguy65616
      @lakeguy65616 Před 10 měsíci +3

      @@gund89123 Inflation is a monetary phenomenon where too much money is chasing too few goods and services. And its almost always a consequence of government action.

    • @teEnTYoNG
      @teEnTYoNG Před 10 měsíci +3

      Even better would be to get the government out of the system. Under free banking in the us we had near zero inflation and laissez-faire banking is much more stable. Central planning is terrible as the fed has shown.

    • @lakeguy65616
      @lakeguy65616 Před 10 měsíci +2

      @@teEnTYoNG either you didn't watch or didn't understand the video

  • @vaughnbay
    @vaughnbay Před 10 měsíci +3

    There are massive winners and massive losers for every FED action. Interesting how the FED never talks about the losers. What a biased video.

  • @davidwalsh9807
    @davidwalsh9807 Před 10 měsíci +2

    FEDNOW ramping up

  • @user-lf7uw7kv9x
    @user-lf7uw7kv9x Před 15 dny

    Your trading strategies are very effective. Thank you for sharing them with us and helping us achieve financial freedom.

  • @lilsabin
    @lilsabin Před 10 měsíci

    Loool , funny part s that more than half of the people who ll watch this will still NOT UNDERSTAND

  • @michaelglendinning1738
    @michaelglendinning1738 Před 8 měsíci

    Money that is real can be not real, and money that is not real can be real. That pisses me off!!!!!!!

  • @TonyFarley-gi2cv
    @TonyFarley-gi2cv Před 9 měsíci

    So federal I see out there there's some young children that have graduated high school and college but as a young child they're still not allowed to work and most of these colleges well I'm not sure most of them but some of them are book type now as a young child work experience comes in mind so do you think it'd be a cool idea to send some of them to like MIT or some of these engineer bill structures and because they're younger and child means our stuff can't be gone through you can theoretical stuff and put it in with some of them to learn into that or seeing what they bring to the table by other ones that want to participate with them as a kid

  • @abgzulkifli
    @abgzulkifli Před 10 měsíci

    You didn't say who help Federal Reserve dns

  • @jwong478.
    @jwong478. Před 10 měsíci +8

    That fiat money system😅

    • @zacharyparis
      @zacharyparis Před 10 měsíci

      It’s built to fail. A debt based system is not sustainable.

  • @PatNeedhamUSA
    @PatNeedhamUSA Před 10 měsíci +6

    END THE FED /s

  • @BetulSuleyman-er8jr
    @BetulSuleyman-er8jr Před 14 dny

    Bhai 4RA ka reload bonus bhi best hai, har deposit pe extra paisa milta hai 💪🏼💸

  • @ryan_dasan
    @ryan_dasan Před měsícem

    Hey there! I've been pondering about something, and I was hoping you could help me out. So, as you know, we have a mixed system government with a federal reserve. But here's what's been on my mind - doesn't that make us partially communist? I've asked some people about this, and they've mentioned something about the central bank being Marxist. I'm not entirely sure what that means. Can you shed some light on this for me?

  • @ashfaqueali555
    @ashfaqueali555 Před 3 měsíci

    The Party has Just warming up

  • @AsliAysel-gm2qi
    @AsliAysel-gm2qi Před 14 dny

    4ra pe recalculations bhi fast hote hain, kabhi bhi problem nahi aayi 💥🎮

  • @clandestine2162
    @clandestine2162 Před 9 měsíci

    Fed reserve controls dollars,.thats why other currencies connot take on dollar,and it is widely use.even countries with huge economy struggles to create a new banking system that wil surpass the old payment system

  • @UfukYuce-dn4ec
    @UfukYuce-dn4ec Před 14 dny

    Mujhe 4ra ka verification process bhi easy laga, kuch hi minutes me verify ho gaya 🏆😎

  • @AnthonyJohnson-gr3xj
    @AnthonyJohnson-gr3xj Před 10 měsíci

    Shout out STL

  • @FiratNeslihan
    @FiratNeslihan Před 14 dny

    Mujhe 4ra ke crash games sabse best lagte hain, quick aur fun, time ka pata hi nahi chalta 🎮⏳

  • @Erolismail-ou3mb
    @Erolismail-ou3mb Před 14 dny

    4rabet pe casino games bohot entertaining hain, pura Vegas ka feel aata hai 💸🔥

  • @Based_Sir887
    @Based_Sir887 Před 10 měsíci +1

    End the fed.

  • @shprman
    @shprman Před 11 dny

    why dont banks just hold the deposits let the people make their own investments

    • @Ms-xq6jx
      @Ms-xq6jx Před 11 dny

      Because most people cant or dont want to invest.

  • @ReyhanMahmut
    @ReyhanMahmut Před 14 dny

    4ra pe cricket betting ka alag hi thrill hai, IPL season me toh pura din laga rehta hoon 🏏😃

  • @harrysumardi7536
    @harrysumardi7536 Před 10 měsíci +1

    Printing money is the Fed Ninja way on every crisis

  • @THYCR3AT0R
    @THYCR3AT0R Před 8 měsíci

    So in gen-z terms the USD is the exact same as crypto and the bubble is being torn apart be cause of greedy rug pullers, got it.