Arthur Hayes, the co-founder of BitMEX, believes the recent Federal Reserve rate cut was a political move designed to boost Kamala Harris’ presidential campaign. He thinks the Fed’s decision to lower interest rates by 50 basis points was a deliberate attempt to inflate the stock market and make people feel wealthier before the election.
Strong Economy, Questionable Move
Hayes points out that the US economy is actually doing quite well, with strong GDP growth and low unemployment. He questions why the Fed would cut rates in such a positive economic climate, especially by such a large margin. He believes the Fed is trying to artificially boost the markets to benefit the Democratic candidate.
Inflation on the Horizon
However, Hayes warns that this move could have serious consequences for the American people. He believes the Fed’s rate cut will lead to increased inflation, which will hurt Americans’ wallets after the election. He argues that the Fed’s actions will only exacerbate the already reckless spending by the government.
In short, Hayes believes the Fed’s decision to cut rates was a political move that will ultimately harm the US economy. He believes the Fed is playing a dangerous game with the future of the American people.
