What could cause an 'immaculate correction' of rates, inflation

[Randy]

Source: https://finance.yahoo.com/video/could-cause-immaculate-correction-rates-212536567.html

The latest reading of the Consumer Price Index (CPI) will be released on Tuesday, giving further insight into how inflation is faring and potentially affect the Federal Reserve's future interest rate policy decisions. Many investors have been preparing for multiple interest rate cuts from the Fed as it seems likely the Fed will hit its target goal for inflation of 2%.

GenTrust Principal Matt Kishlansky joins Yahoo Finance to discuss everything around inflation and the Federal Reserve and how the market is pricing in potential cuts.

Kishlansky explains how market participants have been overly eager and discounting a lot of the risks associated with the economy and what they should want instead: "I think we want to see some amount of rate cuts to justify the multiples for which we are to see the cost of capital start to come down, but too many rate cuts once we get going on that path, too many rate cuts portend a world where the Fed is worried about growth and starting to artificially prop us up. So the market is kind of signaling that they believe in what I'm going to call the immaculate correction of rate levels and inflation levels without any impact on growth. And to the extent we do actually experience that, I think they're going to really reward equities, I think they're going to push prices up even if that means pushing multiples up further from here."

Thoughts?

 

[NeoMetallix]

CPI is total bullcrap. Anyone using that is a fool. Luckily the government and federal reserve have the real data that isn't put out.

That said, the federal reserve is the catalyst that allows inflation by allowing deficit spending by congress. If you want to stop inflation, you replace our currency with sound money, and STOP deficit spending.

At 2% inflation it only takes 36 years for the value of your currency to halve.