Federal Reserve raises rates by 0.75%
Predictably, the Fed&#x27;s quantitative easing combined with stimulus created inflation.<p>You can make a decent argument that the initial policy was the right thing to do. I mean, if you&#x27;re going to force people not to work because of a pandemic, you have to give them some money. Whether there was (or is ever) a need to prop up the stock market as well is less obvious.<p>But where they VERY clearly f&#x27;ed up is labeling the inflation as &quot;transitory&quot; and allowing the market to keep running up ridiculous returns (which were detached from underlying value) and now having to clamp down much harder to get a hold on inflation, which will cause significant structural unemployment as those companies that were running red hot and expanding until a few months ago have to do a bunch of layoffs.