Is The Fed REALLY Tightening? The Monetary Shell Game (Hint: M1 Money Growing at 8-10% YoY)

The Federal Reservc Open Market Committee (FOMC) has ‘tightened’ the Fed Funds Target rate twice since December 2015. One in December 2015 and once in December 2016.
Well, 75 basis points is hardly ‘tight.’ But what about The Fed’s asset purchases? The Fed ended their third round of asset purchases in October 2014. While QE expansion has stoppped (for the moment), The Fed’s balance sheet is being reduced very slowly. Hardly monetary tightening, but not loosening either,

This post was published at Wall Street Examiner on January 11, 2017.