Effective Federal Funds Rate
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FED FUNDS Rate Inflation Adjusted Remains Tight

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FED FUNDS Rate Inflation Adjusted for core inflation remains in the tightening area. As inflation rises over the next few months, thanks to Trump's liberating all Americans with higher taxes and less discretionary income to spend.

I expect this chart to drop as inflation rises and Fed holds rates steady. Alternatively, FED lowers rates bc we will be in a recession, and it is trying to make private money creation cheaper to pump the economy.

Which of the two will occur first, I could not tell you. However, it is important to keep a close eye on this chart in the months ahead.

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It's different this time???

Many people did not pay attention to this chart when I posted it back in May.
I hope this time they do.

snapshot

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