Earlier this week, we discussed the amount of laughter in FOMC meetings as a sign that the Fed was not fully cognizant of the coming financial storm.
Today’s chart adds another component to this, overlaying Fed laughs with Case Shiller residential real estate price index, via Elliot-today. Perhaps the best way to consider this is as a function of mass psychology: The Fed appears to have become complacent, apparently relaxed and self satisfied with their handling of the collapsing of the DotCom/Tech/Telecom bubble after 2,000.
Sure, there is some form fitting here as the chart is adjusted 6 months to make them correlate. Regardless, it is the sort of coincidence that would rarely be noticed in real time, and is terribly significant in hindsight.
I wonder what the Fed is laughing about now . . .
Please use the comments to demonstrate your own ignorance, unfamiliarity with empirical data and lack of respect for scientific knowledge. Be sure to create straw men and argue against things I have neither said nor implied. If you could repeat previously discredited memes or steer the conversation into irrelevant, off topic discussions, it would be appreciated. Lastly, kindly forgo all civility in your discourse . . . you are, after all, anonymous.
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