More asset inflation to come; Bloomberg says the U.S. Fed is empowering the poor

As long as the central bank propaganda spreads, the markets will move higher

While we know that it has been the government deficit spending and the U.S. Fed’s enabling policies that have decimated the working class, while enriching the elites, we wouldn’t know it if we read the business press. According to Bloomberg, the Fed is working to empower the previously disenfranchised.

Federal Reserve Chairman Jerome Powell probably will kick off his post-meeting press conference on Wednesday the same way he’s begun every one this year. The Fed, he’ll tell reporters, has “one over-arching goal: to sustain the economic expansion.’’

Behind that anodyne mission statement lies a grand ambition. Powell is effectively taking on a task that many of his inflation-wary predecessors shunned: extend the fruits of a growing economy to those who rarely benefit, from struggling African-American families to poor rural white people.

The improvement in the jobs market has “started to reach communities at the edge of the workforce,” Powell told lawmakers this month. “It’s just so important for us to continue that process [maintain dovish policy] for a couple of years.’’

“I can’t remember a Fed chair who was as emphatic about the benefits of this high-pressure labor market to people who have long been left behind,’’ said Jared Bernstein, a one-time adviser to former Vice President Joe Biden who’s now at the Center on Budget and Policy Priorities.

Fed Chair Jerome Powell Likes the Economy Hot – Bloomberg, July 28th

Racial Inequality? The propagandists are inventing excuses for the Fed’s dovish policies

The Fed’s monetary policies, which have enabled the federal government to continue spending with reckless abandon, are directly to blame for skyrocketing asset prices and the true cost of living. These policies have widened the long-term, secular income and net worth disparities, and reduced the average person’s standard of living. But according to the propaganda pieces that pose as news, the Fed is working to help out when the government fails. Here, Bloomberg tells us to thank the Fed for helping to address racial inequality.

Powell has said repeatedly that it’s up to Congress and the White House to tackle such deep-rooted ills as income inequality and racial disparities in the labor market.

But he acknowledged this month that the Fed has a role to play, too. “What we can do,” he told lawmakers, “goes back to taking seriously the job you’ve given us, which is maximum employment.”

Economist Laurence Meyer said central bankers rarely talked about the labor market’s impact on minorities or inequality when he was a Fed governor from 1996 to 2002.

Now, officials talk about those topics all the time. And they think they’re having an effect as the stretched labor market draws in workers from the sidelines.

“One could say, ‘Thank the Fed,’” said Meyer, who heads his own Washington-based consulting firm. “At least somebody is doing something about inequality.”

Fed Chair Jerome Powell Likes the Economy Hot – Bloomberg, July 28th

I cannot even make this stuff up. But as long as a large percentage of the investing and trading populations believe it (which they do), asset prices will continue to climb higher on the wall of lies.

The very monetary policies that have decimated the average person are supposedly being employed to help the average wage and debt slave.

Talk about the Stockholm syndrome….