“Cathie Wood just wrote an open letter to the Fed accusing it of stoking ‘deflation’ and looking at the wrong economic indicators”
October 11, 2022
“The Federal Reserve has raised interest rates at the fastest pace since the 1980s this year in an attempt to cure America’s inflation problem. But now, many economists and business leaders are beginning to question whether the medicine (rate hikes) could be worse than the disease (inflation).
Among those is Cathie Wood, the CEO and CIO of investment firm ARK Invest. On Monday, Wood penned an open letter to Fed officials accusing them of making a “policy error” with their interest rate hikes.
She argues that Chair Jerome Powell & Co. are using “lagging indicators”—including employment and headline inflation—to justify tighter monetary policy when they should be using “leading indicators” such as commodity, used car, and home prices that tell a very different story…”
https://finance.yahoo.com/news/cathie-wood-just-wrote-open-182102487.html
Markets correct themselves naturally. Every time the Fed “helps” things get worse. Haven’t people figured this out yet?