Interviews with current and former Fed officials (In the private sector these guys would be know as Banking Cartel members and would be promptly thrown in jail but....) indicate that Yellen and core decision-makers at the U.S. central bank (Elite of the Elite who think they can control Dante's Inferno) are determined not to raise interest rates too early and risk hurting the fragile U.S. economy. (HAHAHAHA more of the not so funny...as if the U.S. economy is not already in shambles, but all the world's a stage and the Fed members merely actors)
It's a commitment that will be vigorously tested (manipulated) in coming months as pressure builds inside the Fed, among Republicans on Capitol Hill, and perhaps even in financial markets (oh you mean something that can't go on forever won't?), for the Fed to acknowledge a strengthening U.S. economy with its first interest-rate increase in more than eight years. A global central bankers' conference in Jackson Hole, Wyoming next week will give Yellen a major stage (think Shakespeare's Much Ado About Nothing) on which to press her case.
After taking over from Ben Bernanke in February, she has developed a distinct style: off-the-cuff and personable in public appearances ( personable??? How so??? The best and brightest are not running the show in case you haven't noticed but she's female and that's what matters most right? The whole diversity thing?), unusually direct in calling attention to the plight of the unemployed (oh how generous of her to throw some crumbs the way of the poor and destitute. Let them eat crap cuz as long as I'm saying all the right bleeding heart things...it's all good), meticulous in her preparation for Fed meetings and highly attuned to the opinions of her colleagues, the Fed sources say. (OMG I'm speechless, is this paid PR work or what?)
A common adjective used to describe her in meetings is "over-prepared." (OMG??? Enough Already??? "over-prepared??? PRAY TELL US HOW???) She is able to deeply question staff and colleagues about the fine points of their presentations (Deeply question?? I can do that too...just sayin), and so far has been able to forge consensus (you guys love this word consensus...I do not think it means what you think it means) statements that have satisfied the Fed hawks most concerned about the inflation threat while keeping the central bank focused more on employment. (Oh yeah the Fed is concerned with employment, if that's true END THE FED NOW....EPIC FAIL!!!)
The nightmare scenario she wants to avoid is hiking rates only to see financial markets and the economy take such a hit that she has to backtrack. (Ummm yeah, we peasants could see that scenario coming a mile away but you guys are the smart guys that's why we pay you the big printed bucks!) Until the Fed has gotten rates up from the current level near zero to more normal levels, it would have little room to respond if the economy threatened to head into another recession. (Been there, done that and doing it again but ok....)
Inflation, on the other hand, is a familiar foe that Fed officials say they are confident they can control with conventional policy tools.(HAHAHAHA OMG can you stop with the jokes, IT AIN'T A BUG IT'S A FEATURE AND YOU KNOW IT)
"If the Fed were to generate too much economic growth and higher inflation (TOO MUCH ECONOMIC GROWTH?? SURELY YOU JEST???), that is a much better situation to be in than one of a faltering economic recovery and the need to rely even more on unconventional tools," said David Stockton, the Fed's chief economist until 2011 who is now a senior fellow at the Peterson Institute for International Economics. (Unconventional tools???What will that be...outright theft???SEE JOHN CORZINE)
"The Fed knows how to contain inflation if it is moving,"(OMG???STOP IT! CONTAIN INFLATION? MUCH THE SAME AS YOU WOULD CONTAIN EBOLA?) he said, while the impact at this point of another downturn "are more uncertain and hard to counter." (Yeah, thanks for nothing suckers!) The risks of moving too soon, Stockton and others in and outside the Fed say, include snuffing out an already tepid housing market recovery with higher mortgage rates, depressing business investment and durable goods purchases, and triggering sudden declines in asset prices. (WHOA Nellie that sentence was a doozy, all problems the FED created ON PURPOSE I might add)
And after extraordinary efforts to right the U.S. economy after the financial crisis struck (Translation: After we saved the top 1% of the top 1% and all the little people be damned), there would likely be little appetite among Republicans or other fiscal conservatives on Capitol Hill to use fiscal policy to counter a fresh recession, making it all the more important for Yellen to avoid helping to cause such a reversal. (Ummm, I don't think fiscal conservatives are the only reason you won't do this, it's actually called Herbert Stein's Law, something that can't go on forever won't but hey keep hitting that brick wall and blaming it on conservatives)
"The challenge that she and the Fed as an institution face is to support the recovery, (IF THIS IS RECOVERY THEN I AM MORE NATIVE AMERICAN THAN ELIZABETH WARREN...OH WAIT, I AM!) because fiscal policy ... is no longer on the table for both political and economic reasons," said David Lipton, (OMG!!!!! Fiscal policy is not on the table now and it never was) first deputy managing director at the International Monetary Fund. "Now that (the economy) is recovering, (NOT!!!) the challenge is to gauge its strength and make sure it stays on the right path." (It's called Central Planning and it never works out well ... at least not for the people...you elites on the other hand, well, it's your world and we are just funding it...)
There is more at the link, this was all I could stand...