The Fed’s Latest Interest Rate Hike Is a “Vanity” Hike

[Inside Wall Street with Nomi Prins]( The Fed’s Latest Interest Rate Hike Is a “Vanity” Hike By Nomi Prins, Editor, Inside Wall Street with Nomi Prins On Wednesday of last week, the Federal Reserve raised interest rates by a quarter of a percentage point. That put the federal funds rate at a 22-year high. It’s currently between 5.25% to 5.5%. This decision, however, came after the Fed decided to pause rate hikes in June. Up until then, the Fed had raised interest rates 10 consecutive times to fight inflation. So, why did the Fed change its course of action? Today, I’ll delve into the latest developments… show you how the data did not support another rate hike… and explain what you can do to protect your hard-earned dollars. Recommended Link [“Amazon Loophole” could hand you $28,544 in “royalty” payouts]( [image]( Thanks to a little-known IRS loophole… Regular Americans can collect up to $28,544 (or more) in payouts from what Brad Thomas calls the “Amazon secret royalty program…” And the best part is, there are: - NO age or income requirements… (It’s available to anyone 18+ or older) - NO employment requirements… (You can be working part-time, full-time, or even be retired) - And you NEVER have to shop or sell a single product on Amazon… (It only takes 5 minutes to set up!) See how to collect the next payout before the strict cutoff deadline. [Watch short video now.]( -- An “Ego” Hike Last month, during the FOMC (Federal Open Market Committee) meeting, the Fed voted unanimously for a pause in rate hikes. That’s [Stage 2]( of what I consider the Fed’s [three-stage pivot]( from reducing the size of rate hikes, to rate neutrality, to eventually rate cuts. Even so, the Fed did leave the door open for another possible rate hike or two… Here’s what I said after the June decision: …Powell was all over the place in his Q&A. He talked about house prices dropping because of high rates and the problems that high rates imposed on businesses. On the other hand, he said inflation pressures are still running high, and there’s still a long way to go to get inflation down to their 2% range. …Powell stressed the U.S. economy faces headwinds from credit tightening and that the extent of these effects remains, as he said, uncertain. During that same meeting, Chairman Jerome Powell said the Fed would make its decisions based on the totality of data. But the data did not show the need for another rate hike. That’s why I consider this a “vanity” hike or “ego” hike. Let’s look at the facts… Recommended Link [Can this expert trader’s One Ticker Retirement Plan jump-start your financial freedom?]( [image]( Market Wizard Larry Benedict crushed the market in 2022… He delivered a perfect track record to his One Ticker Trader readers, going 11-for-11. Previously, he went 20 straight years on Wall Street without a single losing year. And when the market plummeted 37% in 2008, he delivered 23% returns… Now he’s sharing an over-the-shoulder “demo” of his winning strategy in action. He calls it the One Ticker Retirement Plan… And it takes less than 10 seconds to demonstrate. [Watch it here.]( -- The Rate Hike Was Not Based on Data Overall, GDP growth is still slowing. In the second quarter of 2023, the growth rate was 2.40%, which is lower than the long-term average of 3.18%. What’s more, consumer debt is at record highs. In the first quarter of 2023, aggregate household debt went up by $148 billion, a 0.9% rise from the last quarter in 2022. Total household debt now stands at $17 trillion. That’s an increase of $2.9 trillion since the end of 2019, just before the pandemic started. Not to mention, inflation has dropped. The latest Consumer Price Index (CPI) data, released after the June FOMC meeting, revealed the inflation rate was at 3%. That’s the lowest inflation level we’ve seen since March 2021 and the closest we’ve gotten to the Fed’s inflation target of 2%. And despite Powell going on about the hot labor market, the only significant sector of job increases in last month's employment report was the services sector. That typically increases during the summer season. So, all of this data did not scream the need for another rate hike… Recommended Link [Billionaires Preparing for Dollar Recall?]( [image]( Billionaires like Jeff Bezos, Bill Gates and the founder of Google Larry Page are all preparing for what could be [a mandatory US dollar recall.]( And you’ll need to move your cash quickly because they could make the official announcement as soon as [September 20th](. [Click here to see the details and learn the three steps you need to take to protect your savings.]( -- What It Means for Your Money If the data didn’t support more rate hikes, why did we get one? Because the Fed wants to maintain its aura of control over the entire inflation situation… We still remain in Stage 2 of the Fed’s three-stage pivot. That means we'll see opportunities in hard assets such as gold, silver, and copper that hold their value relative to interest rate levels. Plus, the factory construction boom that's happening in the middle of America requires copper, steel, concrete, and iron… pushing those prices up. As I discussed [recently]( the ongoing global heat wave will also boost energy prices as well as the share values of utility, oil, and gas companies. And let’s not forget how the Fed just overstepped its boundaries in a truly unprecedented way… On July 20, the Fed launched its FedNow quick payment system ahead of its scheduled July 31 release date. That's a problem. FedNow lays the groundwork for a central bank digital currency (CBDC). The more banks and major companies subscribe to FedNow, the sooner a digital currency can be introduced. That opens the door for more control over our financial privacy and our financial lives. And it gives the Fed increased power to inflate our monetary supply. That’s why we will continue to monitor those developments very closely. Meanwhile, you should continue to invest in gold to protect your wealth. Remember, gold has preserved wealth through every kind of crisis imaginable. The best way to buy gold is with a combination of physical gold and gold stocks. You can buy [physical gold]( online through accredited places like the U.S. Mint. You can also buy a [gold exchange-traded fund (ETF)]( that is backed by physical gold. Gold ETFs offer the advantage of holding gold without the hassle of storing, securing, or transporting it. Regards, [signature] Nomi Prins Editor, Inside Wall Street with Nomi Prins P.S. As the Federal Reserve raises interest rates and enacts changes to our monetary system, it’s now more important than ever to position yourself ahead of the volatility that’s coming. That’s why I found one asset that will help you stay on the right side of this monetary shift and become your own banker. I put the details in a video presentation I released. I’ll also show you my No. 1 gold pick for 2023 and beyond… and three “unprintable” plays to take advantage of the Fed’s next major distortion of the financial system. [Watch it here](. --------------------------------------------------------------- Like what you’re reading? Send your thoughts to [feedback@rogueeconomics.com](mailto:feedback@rogueeconomics.com?subject=RE: Inside Wall Street Feedback). MAILBAG A reader shares their experience investigating Wall Street… and fears it will not be long before the dollar loses its world currency status… In my comments published in December 2008, “SEC ‘Office of One’ Ignores Massive Fraud,” I stated that the U.S. was going “the way of the Weimar Republic” once the Wall Street criminal cartel engaged in quantitative easing. I knew that once the U.S. government allowed that to start, they would not be able to stop. I discovered in 1988 how Merrill Lynch rigged the market in Ranger Oil I invested in December 1980. I was denied going to court which would have allowed me to collect damages for the thousands of Merrill Lynch retail customers that invested in Ranger Oil. Don Regan, the former CEO, in 1988 confessed to the U.S. Senate Finance Committee that the stock market was rigged and the SEC was under the control of Wall Street bankers. I warned in my email to the SEC Chair in August 1998 that the stock market would soon crash and warned again in 2007. It should not be surprising that JPMorgan Chase has been convicted of multiple felonies along with Wells Fargo, Bank of America, Goldman Sachs, and Citibank. There are other banks that have also been convicted of felonies. Apparently, bankers view penalties assessed for corporate crimes as an expense of doing business with no CEO going to jail. It will not be long before the U.S. dollar loses its world currency status. Sadly, history does repeat itself since greed and selfishness have not relinquished hold of human nature. God help us all. – William M. Do you agree with William that it won’t be long before the dollar loses its world currency status? What do you think about the Fed continuing to raise interest rates? Write us at [feedback@rogueeconomics.com](mailto:feedback@rogueeconomics.com?subject=RE: Inside Wall Street Feedback). IN CASE YOU MISSED IT… [Redacted: Shocked host can’t believe what he saw]( ‘Shocking…’ When Dr. Nomi Prins showed the interviewer what was in the document, he couldn’t believe it. He quickly raised an eyebrow and asked: “Is THIS what they didn’t want us to see?” According to Dr. Nomi Prins, the elites are rolling out a plan to overhaul the dollar, with the full backing of the White House, the Federal Reserve, and Bill Gates. She says: “Every American will be affected in ways that would’ve been unthinkable just a few years ago.” Bank of America calls the overhaul ‘imminent’… And the Federal Reserve has already installed the infrastructure to make it all a reality in the weeks ahead. In other words, time is running out to prepare… To show you everything you need to know, Dr. Prins has recorded a presentation with all the details. What she has to say is controversial, but if you have more than $2,500 in an American bank or retirement fund – it’s something you absolutely MUST see. [Click here to find out what you need to do to prepare for this historic transformation.]( [image]( [Rogue Economincs]( Rogue Economics 55 NE 5th Avenue, Delray Beach, FL 33483 [www.rogueeconomics.com]( [Tweet]( [TWITTER]( To ensure our emails continue reaching your inbox, please [add our email address]( to your address book. This editorial email containing advertisements was sent to {EMAIL} because you subscribed to this service. 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