Larry Kudlow: Biden likes to ridicule the stock market
FOX Business host Larry Kudlow shreds President Joe Biden’s economic policies ahead of the midterm elections on ‘Kudlow.’
President Joe Biden likes to ridicule the stock market. He never talks about bonds or interest rates. He frequently criticizes Donald Trump for keeping a sharp eye on the stock market as a leading indicator on the economy. Well, Biden might want to have another think about this stock market business because it's falling now, almost on a daily basis.
The broad-based S&P 500 is off 24% year to date signaling a bear market and a recession. The U.S. Treasury bond market has basically collapsed. Prices have plunged and interest rates have soared. U.S. government credit is still good, but Treasury market rates have gone up 3-4% points this year. The 10-year is nearly 4%. 30-year mortgages are 6.5%.
The inflation-fighting Fed will run its target rate to at least 5%, if not higher. The inflation rate is stubborn, around 8%. Core inflation, roughly 7%. The GDP tracker from the Atlanta Fed held its number for Q3 steady at 0.3% today, following two down quarters in the first half. None of this is good.
Really, Joe Biden should be reading the business pages. I'll be glad to help him out with a subscription. According to the Gallup poll, 58% of Americans own stocks. Hat tip to Liz Peek for that info. That's a lot of people to ignore, Mr. President.
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