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<blockquote data-quote="Up In Smoke" data-source="post: 5406374" data-attributes="member: 79702"><p>What&#039;s important to remember is the stock market is not the economy.&nbsp; The Federal reserve controls the money flowing into and out of the economy.&nbsp; Since 2008, the Fed has been injecting money into the economy (QE) and lowering the funds rate to stimulate borrowing.&nbsp; From 2016- 2019 the Fed attempted to raise rates and trim it&#039;s balance sheet in an attempt to let the economy grow organically.&nbsp; These attempts failed and they were left again with injecting money and lowering rates.&nbsp; We all know what happened in 2020 with the huge injection of money into the economy ( PPP, SBA, stimulus and subsidies) by the Federal Government.&nbsp; The Fed announced (too little and too late) that 2022-2023 they would be raising rates and selling off assets in an attempt again to let the economy grow organically.&nbsp; They attempting to extract trillions of dollars of Federal dollars from our economy over the course of the next couple years, so hold on it&#039;s going to be bumpy.</p></blockquote><p></p>

[QUOTE="Up In Smoke, post: 5406374, member: 79702"] What's important to remember is the stock market is not the economy. The Federal reserve controls the money flowing into and out of the economy. Since 2008, the Fed has been injecting money into the economy (QE) and lowering the funds rate to stimulate borrowing. From 2016- 2019 the Fed attempted to raise rates and trim it's balance sheet in an attempt to let the economy grow organically. These attempts failed and they were left again with injecting money and lowering rates. We all know what happened in 2020 with the huge injection of money into the economy ( PPP, SBA, stimulus and subsidies) by the Federal Government. The Fed announced (too little and too late) that 2022-2023 they would be raising rates and selling off assets in an attempt again to let the economy grow organically. They attempting to extract trillions of dollars of Federal dollars from our economy over the course of the next couple years, so hold on it's going to be bumpy. [/QUOTE]

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