Punchbowl

"The job of the Federal Reserve Bank is to take away the punch bowl just as the party gets started" -- William McChesney Martin

Translation: The Fed causes recessions just so it can fix them.

It is my contention that the Fed's charter is too narrow -- maintain full employment and  low (2%) inflation. Today, both these goals are being met, yer the Fed seems bent on increasing interest rates (taking away the pinch owl) to prepare for (cause?) the next recession.

However, the interest rate differential between the U.S. and the rest of the world is now so great that the Fed, by strengthening the dollar so much, is impacting foreign trade and working at cross purposes with Trump's tariff agenda. These rate increases are also killing home and auto sales and making our Treasury's job of financing our debt much more difficult ... particularly since it neglected to extend its term during the previous administration.

Conclusion: If the Fed continues to raise interest rates, the party will surely be over for quite some time. Also meaning that the Fed has its thumb on the political scale ... as Trump is implying.