Elon Musk Reiterates His Worst Nightmare for The Economy

The Street2022-09-15

The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...

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Comments

Sysy
2022-09-15
Sysy
Ok
yeoldCK
2022-09-15
yeoldCK
Simply has this feeling that Musk is causing fear so that potential disastrous telsa performance would seem "normal", at the expense of retail investors.
- Shahfarid:
  I like
LouisKangean
2022-09-15
LouisKangean
Thank you for highlighting....
- LouisKangean:
  👍👍👍
Nebhol
2022-09-15
Nebhol
Ok
- Sysy:
  k
melson
2022-09-15
melson
1% rate hike good, what doesn't kill you makes you stronger
- melson:
  长痛不如短痛
- SeLby:
  Ok
- IAS:
  [LOL] whatever it is, it’s best it’s over and done with asap.
PrincessLow
2022-09-15
PrincessLow
Ok

Leave a comment

501

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The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","kind":"news","is_publish_news":true,"is_publish_highlight":true,"is_publish_live":false,"is_publish_wemedia":null,"editions":null,"column":"","sentiment":"0","news_tag":"","news_rank":0,"symbols":[],"gpt_button":1},"commentList":[{"id":9934827796,"gmtCreate":1663221315015,"gmtModify":1676537231250,"author":{"id":"3581726174893746","authorId":"3581726174893746","name":"Sysy","avatar":"https://static.tigerbbs.com/f89400ba2f20ed80423858c0f6a3d8ee","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3581726174893746","authorIdStr":"3581726174893746"},"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9934827796","repostId":1180934509,"repostType":4,"repost":{"id":"1180934509","kind":"news","pubTimestamp":1663198498,"share":"https://ttm.financial/m/news/1180934509?lang=&edition=fundamental","pubTime":"2022-09-15 07:34","market":"us","language":"en","title":"Elon Musk Reiterates His Worst Nightmare for The Economy","url":"https://stock-news.laohu8.com/highlight/detail?id=1180934509","media":"The Street","summary":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation","content":"<html><head></head><body><p>The world&#39;s richest man worries about the Federal Reserve&#39;s aggressive rate hikes to fight inflation.</p><p>The markets are slumping as investors worry about the consequences of the Federal Reserve&#39;s aggressive interest-rate hikes, designed to fight aninflationrate that&#39;s the highest in 40 years.</p><p>The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.</p><p>This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&amp;P 500, marking the worst session for U.S. stocks since June 2020.</p><p>The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.</p><p>The inflation report bolstered investors&#39; expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.</p><p>Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world&#39;s biggest economy, data from the Bureau of Labor Statistics indicated.</p><h3>0.25, 0.75 or 1 Percentage Point</h3><p>The headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.</p><p>The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.</p><p>&#34;Today’sCPIreport confirms that the US has a serious inflation problem,&#34; commented former Treasury Secretary Larry Summers on Twitter, He&#39;s one observer who says the Fed must go even faster in its monetary tightening.</p><p>&#34;It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,&#34; Summers, who is president emeritus of Harvard University, added.</p><p><img src=\"https://static.tigerbbs.com/4739ddde5cac2c956ac95cf340e3c28c\" tg-width=\"614\" tg-height=\"475\" width=\"100%\" height=\"auto\"/></p><p>A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (<b>TSLA</b>). The billionaire thus suggests an increase of 0.25 percentage point.</p><p>&#34;Drop 0.25%,&#34; Musk tweeted on Sept.14.</p><p><img src=\"https://static.tigerbbs.com/8f4edc908b13265e41c8397dda6b6dcb\" tg-width=\"618\" tg-height=\"263\" width=\"100%\" height=\"auto\"/></p><p>The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.</p><h3>Early Signs of Deflation?</h3><p>It all started with a tweet from Ark Investment Management&#39;s Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.</p><p>&#34;Deflation in the pipeline, &#34; Wood warned. &#34;Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.&#34;</p><p>&#34;Exactly, this is neither subtle nor secret,&#34; Musk commented.</p><p>&#34;What should the fed do?&#34; asked a Twitter user.</p><p>This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.</p><p>On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.</p><p>&#34;A major Fed rate hike risks deflation,&#34; the billionaire said.</p><p>Basically, Tesla&#39;s CEO is saying the Fed is going too far, too fast and must slow down.</p><p>Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.</p><p>Above all, deflation can cause borrowers&#39; financial situation to deteriorate. That&#39;s because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren&#39;t indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.</p><p>Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.</p></body></html>","source":"lsy1610613172068","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Elon Musk Reiterates His Worst Nightmare for The Economy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nElon Musk Reiterates His Worst Nightmare for The Economy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-09-15 07:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster><strong>The Street</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...</p>\n\n<a href=\"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1180934509","content_text":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's aggressive interest-rate hikes, designed to fight aninflationrate that's the highest in 40 years.The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&P 500, marking the worst session for U.S. stocks since June 2020.The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"},{"id":9934888034,"gmtCreate":1663216771029,"gmtModify":1676537230334,"author":{"id":"4097210190079890","authorId":"4097210190079890","name":"yeoldCK","avatar":"https://static.tigerbbs.com/cf9b4f471343f0f58fa8fa3aefbc2098","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"4097210190079890","authorIdStr":"4097210190079890"},"htmlText":"Simply has this feeling that Musk is causing fear so that potential disastrous&nbsp;telsa performance would seem \"normal\", at the expense of retail investors.&nbsp;","listText":"Simply has this feeling that Musk is causing fear so that potential disastrous&nbsp;telsa performance would seem \"normal\", at the expense of retail investors.&nbsp;","text":"Simply has this feeling that Musk is causing fear so that potential disastrous telsa performance would seem \"normal\", at the expense of retail investors.","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":1,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/9934888034","repostId":1180934509,"repostType":4,"repost":{"id":"1180934509","kind":"news","pubTimestamp":1663198498,"share":"https://ttm.financial/m/news/1180934509?lang=&edition=fundamental","pubTime":"2022-09-15 07:34","market":"us","language":"en","title":"Elon Musk Reiterates His Worst Nightmare for The Economy","url":"https://stock-news.laohu8.com/highlight/detail?id=1180934509","media":"The Street","summary":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation","content":"<html><head></head><body><p>The world&#39;s richest man worries about the Federal Reserve&#39;s aggressive rate hikes to fight inflation.</p><p>The markets are slumping as investors worry about the consequences of the Federal Reserve&#39;s aggressive interest-rate hikes, designed to fight aninflationrate that&#39;s the highest in 40 years.</p><p>The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.</p><p>This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&amp;P 500, marking the worst session for U.S. stocks since June 2020.</p><p>The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.</p><p>The inflation report bolstered investors&#39; expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.</p><p>Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world&#39;s biggest economy, data from the Bureau of Labor Statistics indicated.</p><h3>0.25, 0.75 or 1 Percentage Point</h3><p>The headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.</p><p>The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.</p><p>&#34;Today’sCPIreport confirms that the US has a serious inflation problem,&#34; commented former Treasury Secretary Larry Summers on Twitter, He&#39;s one observer who says the Fed must go even faster in its monetary tightening.</p><p>&#34;It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,&#34; Summers, who is president emeritus of Harvard University, added.</p><p><img src=\"https://static.tigerbbs.com/4739ddde5cac2c956ac95cf340e3c28c\" tg-width=\"614\" tg-height=\"475\" width=\"100%\" height=\"auto\"/></p><p>A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (<b>TSLA</b>). The billionaire thus suggests an increase of 0.25 percentage point.</p><p>&#34;Drop 0.25%,&#34; Musk tweeted on Sept.14.</p><p><img src=\"https://static.tigerbbs.com/8f4edc908b13265e41c8397dda6b6dcb\" tg-width=\"618\" tg-height=\"263\" width=\"100%\" height=\"auto\"/></p><p>The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.</p><h3>Early Signs of Deflation?</h3><p>It all started with a tweet from Ark Investment Management&#39;s Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.</p><p>&#34;Deflation in the pipeline, &#34; Wood warned. &#34;Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.&#34;</p><p>&#34;Exactly, this is neither subtle nor secret,&#34; Musk commented.</p><p>&#34;What should the fed do?&#34; asked a Twitter user.</p><p>This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.</p><p>On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.</p><p>&#34;A major Fed rate hike risks deflation,&#34; the billionaire said.</p><p>Basically, Tesla&#39;s CEO is saying the Fed is going too far, too fast and must slow down.</p><p>Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.</p><p>Above all, deflation can cause borrowers&#39; financial situation to deteriorate. That&#39;s because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren&#39;t indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.</p><p>Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.</p></body></html>","source":"lsy1610613172068","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Elon Musk Reiterates His Worst Nightmare for The Economy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nElon Musk Reiterates His Worst Nightmare for The Economy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-09-15 07:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster><strong>The Street</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...</p>\n\n<a href=\"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1180934509","content_text":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's aggressive interest-rate hikes, designed to fight aninflationrate that's the highest in 40 years.The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&P 500, marking the worst session for U.S. stocks since June 2020.The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":103938574,"gmtCreate":1663236940887,"gmtModify":1663258954953,"authorId":4097058432007810,"author":{"id":4097058432007810,"idStr":"4097058432007810","authorId":4097058432007810,"name":"Shahfarid","avatar":"https://community-static.tradeup.com/news/1f2b82742973385f8cc959480d03504d","vip":1,"crmLevel":2,"crmLevelSwitch":1,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":9934888034,"type":1,"supId":0,"prevId":0,"content":"<span class=\"s1\">I like</span>","text":"<span class=\"s1\">I like</span>","html":"<span class=\"s1\">I like</span>"}],"langContent":"EN"},{"id":9934889612,"gmtCreate":1663216380436,"gmtModify":1676537230260,"author":{"id":"4122446833153522","authorId":"4122446833153522","name":"LouisKangean","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","vip":1,"hat":"https://static.tigerbbs.com/0a8758340a08196056f8bc1e54805193","crmLevel":1,"crmLevelSwitch":1,"idStr":"4122446833153522","authorIdStr":"4122446833153522"},"htmlText":"Thank you for highlighting....","listText":"Thank you for highlighting....","text":"Thank you for highlighting....","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/9934889612","repostId":1180934509,"repostType":4,"repost":{"id":"1180934509","kind":"news","pubTimestamp":1663198498,"share":"https://ttm.financial/m/news/1180934509?lang=&edition=fundamental","pubTime":"2022-09-15 07:34","market":"us","language":"en","title":"Elon Musk Reiterates His Worst Nightmare for The Economy","url":"https://stock-news.laohu8.com/highlight/detail?id=1180934509","media":"The Street","summary":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation","content":"<html><head></head><body><p>The world&#39;s richest man worries about the Federal Reserve&#39;s aggressive rate hikes to fight inflation.</p><p>The markets are slumping as investors worry about the consequences of the Federal Reserve&#39;s aggressive interest-rate hikes, designed to fight aninflationrate that&#39;s the highest in 40 years.</p><p>The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.</p><p>This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&amp;P 500, marking the worst session for U.S. stocks since June 2020.</p><p>The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.</p><p>The inflation report bolstered investors&#39; expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.</p><p>Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world&#39;s biggest economy, data from the Bureau of Labor Statistics indicated.</p><h3>0.25, 0.75 or 1 Percentage Point</h3><p>The headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.</p><p>The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.</p><p>&#34;Today’sCPIreport confirms that the US has a serious inflation problem,&#34; commented former Treasury Secretary Larry Summers on Twitter, He&#39;s one observer who says the Fed must go even faster in its monetary tightening.</p><p>&#34;It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,&#34; Summers, who is president emeritus of Harvard University, added.</p><p><img src=\"https://static.tigerbbs.com/4739ddde5cac2c956ac95cf340e3c28c\" tg-width=\"614\" tg-height=\"475\" width=\"100%\" height=\"auto\"/></p><p>A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (<b>TSLA</b>). The billionaire thus suggests an increase of 0.25 percentage point.</p><p>&#34;Drop 0.25%,&#34; Musk tweeted on Sept.14.</p><p><img src=\"https://static.tigerbbs.com/8f4edc908b13265e41c8397dda6b6dcb\" tg-width=\"618\" tg-height=\"263\" width=\"100%\" height=\"auto\"/></p><p>The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.</p><h3>Early Signs of Deflation?</h3><p>It all started with a tweet from Ark Investment Management&#39;s Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.</p><p>&#34;Deflation in the pipeline, &#34; Wood warned. &#34;Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.&#34;</p><p>&#34;Exactly, this is neither subtle nor secret,&#34; Musk commented.</p><p>&#34;What should the fed do?&#34; asked a Twitter user.</p><p>This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.</p><p>On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.</p><p>&#34;A major Fed rate hike risks deflation,&#34; the billionaire said.</p><p>Basically, Tesla&#39;s CEO is saying the Fed is going too far, too fast and must slow down.</p><p>Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.</p><p>Above all, deflation can cause borrowers&#39; financial situation to deteriorate. That&#39;s because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren&#39;t indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.</p><p>Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.</p></body></html>","source":"lsy1610613172068","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Elon Musk Reiterates His Worst Nightmare for The Economy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nElon Musk Reiterates His Worst Nightmare for The Economy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-09-15 07:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster><strong>The Street</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...</p>\n\n<a href=\"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1180934509","content_text":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's aggressive interest-rate hikes, designed to fight aninflationrate that's the highest in 40 years.The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&P 500, marking the worst session for U.S. stocks since June 2020.The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":103936319,"gmtCreate":1663220687508,"gmtModify":1663258944738,"authorId":4122446833153522,"author":{"id":4122446833153522,"idStr":"4122446833153522","authorId":4122446833153522,"name":"LouisKangean","avatar":"https://community-static.tradeup.com/news/default-avatar.jpg","vip":1,"crmLevel":1,"crmLevelSwitch":1,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":9934889612,"type":1,"supId":0,"prevId":0,"content":"👍👍👍","text":"👍👍👍","html":"👍👍👍"}],"langContent":"EN"},{"id":9934146566,"gmtCreate":1663208209855,"gmtModify":1676537228071,"author":{"id":"3567411499210880","authorId":"3567411499210880","name":"Nebhol","avatar":"https://static.tigerbbs.com/b0bfc2a45b91e41a283614268857b3a5","vip":1,"crmLevel":2,"crmLevelSwitch":0,"idStr":"3567411499210880","authorIdStr":"3567411499210880"},"htmlText":"Ok","listText":"Ok","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":2,"commentSize":1,"repostSize":0,"link":"https://ttm.financial/post/9934146566","repostId":1180934509,"repostType":2,"repost":{"id":"1180934509","kind":"news","pubTimestamp":1663198498,"share":"https://ttm.financial/m/news/1180934509?lang=&edition=fundamental","pubTime":"2022-09-15 07:34","market":"us","language":"en","title":"Elon Musk Reiterates His Worst Nightmare for The Economy","url":"https://stock-news.laohu8.com/highlight/detail?id=1180934509","media":"The Street","summary":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation","content":"<html><head></head><body><p>The world&#39;s richest man worries about the Federal Reserve&#39;s aggressive rate hikes to fight inflation.</p><p>The markets are slumping as investors worry about the consequences of the Federal Reserve&#39;s aggressive interest-rate hikes, designed to fight aninflationrate that&#39;s the highest in 40 years.</p><p>The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.</p><p>This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&amp;P 500, marking the worst session for U.S. stocks since June 2020.</p><p>The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.</p><p>The inflation report bolstered investors&#39; expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.</p><p>Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world&#39;s biggest economy, data from the Bureau of Labor Statistics indicated.</p><h3>0.25, 0.75 or 1 Percentage Point</h3><p>The headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.</p><p>The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.</p><p>&#34;Today’sCPIreport confirms that the US has a serious inflation problem,&#34; commented former Treasury Secretary Larry Summers on Twitter, He&#39;s one observer who says the Fed must go even faster in its monetary tightening.</p><p>&#34;It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,&#34; Summers, who is president emeritus of Harvard University, added.</p><p><img src=\"https://static.tigerbbs.com/4739ddde5cac2c956ac95cf340e3c28c\" tg-width=\"614\" tg-height=\"475\" width=\"100%\" height=\"auto\"/></p><p>A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (<b>TSLA</b>). The billionaire thus suggests an increase of 0.25 percentage point.</p><p>&#34;Drop 0.25%,&#34; Musk tweeted on Sept.14.</p><p><img src=\"https://static.tigerbbs.com/8f4edc908b13265e41c8397dda6b6dcb\" tg-width=\"618\" tg-height=\"263\" width=\"100%\" height=\"auto\"/></p><p>The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.</p><h3>Early Signs of Deflation?</h3><p>It all started with a tweet from Ark Investment Management&#39;s Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.</p><p>&#34;Deflation in the pipeline, &#34; Wood warned. &#34;Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.&#34;</p><p>&#34;Exactly, this is neither subtle nor secret,&#34; Musk commented.</p><p>&#34;What should the fed do?&#34; asked a Twitter user.</p><p>This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.</p><p>On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.</p><p>&#34;A major Fed rate hike risks deflation,&#34; the billionaire said.</p><p>Basically, Tesla&#39;s CEO is saying the Fed is going too far, too fast and must slow down.</p><p>Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.</p><p>Above all, deflation can cause borrowers&#39; financial situation to deteriorate. That&#39;s because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren&#39;t indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.</p><p>Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.</p></body></html>","source":"lsy1610613172068","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Elon Musk Reiterates His Worst Nightmare for The Economy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nElon Musk Reiterates His Worst Nightmare for The Economy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-09-15 07:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster><strong>The Street</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...</p>\n\n<a href=\"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1180934509","content_text":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's aggressive interest-rate hikes, designed to fight aninflationrate that's the highest in 40 years.The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&P 500, marking the worst session for U.S. stocks since June 2020.The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":103936412,"gmtCreate":1663221320239,"gmtModify":1663258943947,"authorId":3581726174893746,"author":{"id":3581726174893746,"idStr":"3581726174893746","authorId":3581726174893746,"name":"Sysy","avatar":"https://static.tigerbbs.com/f89400ba2f20ed80423858c0f6a3d8ee","vip":1,"crmLevel":2,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":9934146566,"type":1,"supId":0,"prevId":0,"content":"<u>k</u>","text":"<u>k</u>","html":"<u>k</u>"}],"langContent":"EN"},{"id":9934152425,"gmtCreate":1663207151167,"gmtModify":1676537227723,"author":{"id":"4123471905369072","authorId":"4123471905369072","name":"melson","avatar":"https://community-static.tradeup.com/news/fe7079b4776e26217c92d8df6830df10","vip":1,"hat":"https://static.tigerbbs.com/ae1f49570794979e009a5efdeb6f4789","crmLevel":5,"crmLevelSwitch":1,"idStr":"4123471905369072","authorIdStr":"4123471905369072"},"htmlText":"1% rate hike good, what doesn't kill you makes you stronger","listText":"1% rate hike good, what doesn't kill you makes you stronger","text":"1% rate hike good, what doesn't kill you makes you stronger","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":6,"commentSize":3,"repostSize":0,"link":"https://ttm.financial/post/9934152425","repostId":1180934509,"repostType":4,"repost":{"id":"1180934509","kind":"news","pubTimestamp":1663198498,"share":"https://ttm.financial/m/news/1180934509?lang=&edition=fundamental","pubTime":"2022-09-15 07:34","market":"us","language":"en","title":"Elon Musk Reiterates His Worst Nightmare for The Economy","url":"https://stock-news.laohu8.com/highlight/detail?id=1180934509","media":"The Street","summary":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation","content":"<html><head></head><body><p>The world&#39;s richest man worries about the Federal Reserve&#39;s aggressive rate hikes to fight inflation.</p><p>The markets are slumping as investors worry about the consequences of the Federal Reserve&#39;s aggressive interest-rate hikes, designed to fight aninflationrate that&#39;s the highest in 40 years.</p><p>The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.</p><p>This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&amp;P 500, marking the worst session for U.S. stocks since June 2020.</p><p>The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.</p><p>The inflation report bolstered investors&#39; expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.</p><p>Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world&#39;s biggest economy, data from the Bureau of Labor Statistics indicated.</p><h3>0.25, 0.75 or 1 Percentage Point</h3><p>The headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.</p><p>The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.</p><p>&#34;Today’sCPIreport confirms that the US has a serious inflation problem,&#34; commented former Treasury Secretary Larry Summers on Twitter, He&#39;s one observer who says the Fed must go even faster in its monetary tightening.</p><p>&#34;It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,&#34; Summers, who is president emeritus of Harvard University, added.</p><p><img src=\"https://static.tigerbbs.com/4739ddde5cac2c956ac95cf340e3c28c\" tg-width=\"614\" tg-height=\"475\" width=\"100%\" height=\"auto\"/></p><p>A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (<b>TSLA</b>). The billionaire thus suggests an increase of 0.25 percentage point.</p><p>&#34;Drop 0.25%,&#34; Musk tweeted on Sept.14.</p><p><img src=\"https://static.tigerbbs.com/8f4edc908b13265e41c8397dda6b6dcb\" tg-width=\"618\" tg-height=\"263\" width=\"100%\" height=\"auto\"/></p><p>The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.</p><h3>Early Signs of Deflation?</h3><p>It all started with a tweet from Ark Investment Management&#39;s Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.</p><p>&#34;Deflation in the pipeline, &#34; Wood warned. &#34;Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.&#34;</p><p>&#34;Exactly, this is neither subtle nor secret,&#34; Musk commented.</p><p>&#34;What should the fed do?&#34; asked a Twitter user.</p><p>This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.</p><p>On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.</p><p>&#34;A major Fed rate hike risks deflation,&#34; the billionaire said.</p><p>Basically, Tesla&#39;s CEO is saying the Fed is going too far, too fast and must slow down.</p><p>Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.</p><p>Above all, deflation can cause borrowers&#39; financial situation to deteriorate. That&#39;s because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren&#39;t indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.</p><p>Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.</p></body></html>","source":"lsy1610613172068","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Elon Musk Reiterates His Worst Nightmare for The Economy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nElon Musk Reiterates His Worst Nightmare for The Economy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-09-15 07:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster><strong>The Street</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...</p>\n\n<a href=\"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1180934509","content_text":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's aggressive interest-rate hikes, designed to fight aninflationrate that's the highest in 40 years.The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&P 500, marking the worst session for U.S. stocks since June 2020.The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"comments":[{"id":103933854,"gmtCreate":1663210937937,"gmtModify":1663258931646,"authorId":4123471905369072,"author":{"id":4123471905369072,"idStr":"4123471905369072","authorId":4123471905369072,"name":"melson","avatar":"https://community-static.tradeup.com/news/fe7079b4776e26217c92d8df6830df10","vip":1,"currentWearingBadge":{"badgeId":"1f541396f99840fb977d0ab0ce343c94-1","templateUuid":"1f541396f99840fb977d0ab0ce343c94","name":"Weekly Top Contributor","description":"Contributors with best Editor's Picks every week","bigImgUrl":"https://static.tigerbbs.com/271475ceaf67d40016c8cfa16c08c8b3","smallImgUrl":"https://static.tigerbbs.com/5a6336061b9ba82ba9177c7ec476f5f2","redirectLinkEnabled":1,"redirectLink":"https://ttm.financial/TW/9000980585","hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":5,"allocatedDate":"2022.12.12","individualDisplayEnabled":0,"individualDisplaySort":0,"categoryType":2004},"crmLevel":5,"crmLevelSwitch":1,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":9934152425,"type":1,"supId":103932588,"prevId":0,"content":"长痛不如短痛","text":"长痛不如短痛","html":"长痛不如短痛"},{"id":103933744,"gmtCreate":1663210544729,"gmtModify":1663258929960,"authorId":3583197598199652,"author":{"id":3583197598199652,"idStr":"3583197598199652","authorId":3583197598199652,"name":"SeLby","avatar":"https://static.tigerbbs.com/ad7f9d9a13a537bcb9c5ad29a65aa424","vip":1,"currentWearingBadge":{"badgeId":"1026c425416b44e0aac28c11a0848493-2","templateUuid":"1026c425416b44e0aac28c11a0848493","name":"Senior Tiger","description":"Join the tiger community for 1000 days","bigImgUrl":"https://static.tigerbbs.com/0063fb68ea29c9ae6858c58630e182d5","smallImgUrl":"https://static.tigerbbs.com/96c699a93be4214d4b49aea6a5a5d1a4","grayImgUrl":"https://static.tigerbbs.com/35b0e542a9ff77046ed69ef602bc105d","redirectLinkEnabled":0,"hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2024.01.30","individualDisplayEnabled":0,"individualDisplaySort":0,"categoryType":1001},"crmLevel":4,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":9934152425,"type":1,"supId":0,"prevId":0,"content":"<span class=\"s1\">Ok</span>","text":"<span class=\"s1\">Ok</span>","html":"<span class=\"s1\">Ok</span>"},{"id":103932588,"gmtCreate":1663207852422,"gmtModify":1663258927233,"authorId":3576136694569207,"author":{"id":3576136694569207,"idStr":"3576136694569207","authorId":3576136694569207,"name":"IAS","avatar":"https://static.tigerbbs.com/933fbcc1d9c75b4ff82486f8a48a3e7c","vip":1,"crmLevel":4,"crmLevelSwitch":0,"individualDisplayBadges":[]},"repliedAuthorId":0,"objectId":9934152425,"type":1,"supId":0,"prevId":0,"content":"<span class=\"s1\">[LOL] whatever it is, it’s best it’s over and done with asap.<span class=\"Apple-converted-space\"> </span></span>","text":"<span class=\"s1\">[LOL] whatever it is, it’s best it’s over and done with asap.<span class=\"Apple-converted-space\"> </span></span>","html":"<span class=\"s1\">[LOL] whatever it is, it’s best it’s over and done with asap.<span class=\"Apple-converted-space\"> </span></span>"}],"langContent":"EN"},{"id":9934158906,"gmtCreate":1663206906805,"gmtModify":1676537227615,"author":{"id":"4117417277253572","authorId":"4117417277253572","name":"PrincessLow","avatar":"https://community-static.tradeup.com/news/d4ea1cf001cc7d10ca250bb14e4a1509","vip":1,"crmLevel":2,"crmLevelSwitch":1,"idStr":"4117417277253572","authorIdStr":"4117417277253572"},"htmlText":"Ok&nbsp;","listText":"Ok&nbsp;","text":"Ok","images":[],"top":1,"highlighted":1,"essential":1,"paper":1,"likeSize":3,"commentSize":0,"repostSize":0,"link":"https://ttm.financial/post/9934158906","repostId":1180934509,"repostType":4,"repost":{"id":"1180934509","kind":"news","pubTimestamp":1663198498,"share":"https://ttm.financial/m/news/1180934509?lang=&edition=fundamental","pubTime":"2022-09-15 07:34","market":"us","language":"en","title":"Elon Musk Reiterates His Worst Nightmare for The Economy","url":"https://stock-news.laohu8.com/highlight/detail?id=1180934509","media":"The Street","summary":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation","content":"<html><head></head><body><p>The world&#39;s richest man worries about the Federal Reserve&#39;s aggressive rate hikes to fight inflation.</p><p>The markets are slumping as investors worry about the consequences of the Federal Reserve&#39;s aggressive interest-rate hikes, designed to fight aninflationrate that&#39;s the highest in 40 years.</p><p>The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.</p><p>This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&amp;P 500, marking the worst session for U.S. stocks since June 2020.</p><p>The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.</p><p>The inflation report bolstered investors&#39; expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.</p><p>Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world&#39;s biggest economy, data from the Bureau of Labor Statistics indicated.</p><h3>0.25, 0.75 or 1 Percentage Point</h3><p>The headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.</p><p>The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.</p><p>&#34;Today’sCPIreport confirms that the US has a serious inflation problem,&#34; commented former Treasury Secretary Larry Summers on Twitter, He&#39;s one observer who says the Fed must go even faster in its monetary tightening.</p><p>&#34;It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,&#34; Summers, who is president emeritus of Harvard University, added.</p><p><img src=\"https://static.tigerbbs.com/4739ddde5cac2c956ac95cf340e3c28c\" tg-width=\"614\" tg-height=\"475\" width=\"100%\" height=\"auto\"/></p><p>A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (<b>TSLA</b>). The billionaire thus suggests an increase of 0.25 percentage point.</p><p>&#34;Drop 0.25%,&#34; Musk tweeted on Sept.14.</p><p><img src=\"https://static.tigerbbs.com/8f4edc908b13265e41c8397dda6b6dcb\" tg-width=\"618\" tg-height=\"263\" width=\"100%\" height=\"auto\"/></p><p>The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.</p><h3>Early Signs of Deflation?</h3><p>It all started with a tweet from Ark Investment Management&#39;s Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.</p><p>&#34;Deflation in the pipeline, &#34; Wood warned. &#34;Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.&#34;</p><p>&#34;Exactly, this is neither subtle nor secret,&#34; Musk commented.</p><p>&#34;What should the fed do?&#34; asked a Twitter user.</p><p>This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.</p><p>On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.</p><p>&#34;A major Fed rate hike risks deflation,&#34; the billionaire said.</p><p>Basically, Tesla&#39;s CEO is saying the Fed is going too far, too fast and must slow down.</p><p>Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.</p><p>Above all, deflation can cause borrowers&#39; financial situation to deteriorate. That&#39;s because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren&#39;t indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.</p><p>Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.</p></body></html>","source":"lsy1610613172068","collect":0,"html":"<!DOCTYPE html>\n<html>\n<head>\n<meta http-equiv=\"Content-Type\" content=\"text/html; charset=utf-8\" />\n<meta name=\"viewport\" content=\"width=device-width,initial-scale=1.0,minimum-scale=1.0,maximum-scale=1.0,user-scalable=no\"/>\n<meta name=\"format-detection\" content=\"telephone=no,email=no,address=no\" />\n<title>Elon Musk Reiterates His Worst Nightmare for The Economy</title>\n<style type=\"text/css\">\na,abbr,acronym,address,applet,article,aside,audio,b,big,blockquote,body,canvas,caption,center,cite,code,dd,del,details,dfn,div,dl,dt,\nem,embed,fieldset,figcaption,figure,footer,form,h1,h2,h3,h4,h5,h6,header,hgroup,html,i,iframe,img,ins,kbd,label,legend,li,mark,menu,nav,\nobject,ol,output,p,pre,q,ruby,s,samp,section,small,span,strike,strong,sub,summary,sup,table,tbody,td,tfoot,th,thead,time,tr,tt,u,ul,var,video{ font:inherit;margin:0;padding:0;vertical-align:baseline;border:0 }\nbody{ font-size:16px; line-height:1.5; color:#999; background:transparent; }\n.wrapper{ overflow:hidden;word-break:break-all;padding:10px; }\nh1,h2{ font-weight:normal; line-height:1.35; margin-bottom:.6em; }\nh3,h4,h5,h6{ line-height:1.35; margin-bottom:1em; }\nh1{ font-size:24px; }\nh2{ font-size:20px; }\nh3{ font-size:18px; }\nh4{ font-size:16px; }\nh5{ font-size:14px; }\nh6{ font-size:12px; }\np,ul,ol,blockquote,dl,table{ margin:1.2em 0; }\nul,ol{ margin-left:2em; }\nul{ list-style:disc; }\nol{ list-style:decimal; }\nli,li p{ margin:10px 0;}\nimg{ max-width:100%;display:block;margin:0 auto 1em; }\nblockquote{ color:#B5B2B1; border-left:3px solid #aaa; padding:1em; }\nstrong,b{font-weight:bold;}\nem,i{font-style:italic;}\ntable{ width:100%;border-collapse:collapse;border-spacing:1px;margin:1em 0;font-size:.9em; }\nth,td{ padding:5px;text-align:left;border:1px solid #aaa; }\nth{ font-weight:bold;background:#5d5d5d; }\n.symbol-link{font-weight:bold;}\n/* header{ border-bottom:1px solid #494756; } */\n.title{ margin:0 0 8px;line-height:1.3;color:#ddd; }\n.meta {color:#5e5c6d;font-size:13px;margin:0 0 .5em; }\na{text-decoration:none; color:#2a4b87;}\n.meta .head { display: inline-block; overflow: hidden}\n.head .h-thumb { width: 30px; height: 30px; margin: 0; padding: 0; border-radius: 50%; float: left;}\n.head .h-content { margin: 0; padding: 0 0 0 9px; float: left;}\n.head .h-name {font-size: 13px; color: #eee; margin: 0;}\n.head .h-time {font-size: 11px; color: #7E829C; margin: 0;line-height: 11px;}\n.small {font-size: 12.5px; display: inline-block; transform: scale(0.9); -webkit-transform: scale(0.9); transform-origin: left; -webkit-transform-origin: left;}\n.smaller {font-size: 12.5px; display: inline-block; transform: scale(0.8); -webkit-transform: scale(0.8); transform-origin: left; -webkit-transform-origin: left;}\n.bt-text {font-size: 12px;margin: 1.5em 0 0 0}\n.bt-text p {margin: 0}\n</style>\n</head>\n<body>\n<div class=\"wrapper\">\n<header>\n<h2 class=\"title\">\nElon Musk Reiterates His Worst Nightmare for The Economy\n</h2>\n\n<h4 class=\"meta\">\n\n\n2022-09-15 07:34 GMT+8&nbsp;&nbsp;&nbsp;<a href=https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster><strong>The Street</strong></a>\n\n\n</h4>\n\n</header>\n<article>\n<div>\n<p>The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's ...</p>\n\n<a href=\"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster\">Web Link</a>\n\n</div>\n\n\n</article>\n</div>\n</body>\n</html>\n","type":0,"thumbnail":"","relate_stocks":{},"source_url":"https://www.thestreet.com/technology/elon-musk-says-this-move-can-avert-economic-disaster","is_english":true,"share_image_url":"https://static.laohu8.com/e9f99090a1c2ed51c021029395664489","article_id":"1180934509","content_text":"The world's richest man worries about the Federal Reserve's aggressive rate hikes to fight inflation.The markets are slumping as investors worry about the consequences of the Federal Reserve's aggressive interest-rate hikes, designed to fight aninflationrate that's the highest in 40 years.The feverishness of investors was marked by the Sept. 13 equity-market rout that followed a report confirming that inflation is not easing.This hotter-than-expected inflation report wiped almost $1.6 trillion from theS&P 500, marking the worst session for U.S. stocks since June 2020.The rout particularly affected risky assets such as technology groups. The Nasdaq 100 lost more than 5.5%.The inflation report bolstered investors' expectation that the Fed would raise rates by at least 0.75 percentage point, or 75 basis points during its two-day meeting on September 21-22.Core U.S. consumer prices jumped 0.6% last month, powered not only by rising rents but also by accelerating pressures across a broad range of the products and services. The figures suggested that pressures have yet to peak in the world's biggest economy, data from the Bureau of Labor Statistics indicated.0.25, 0.75 or 1 Percentage PointThe headline consumer price index for the month of August was estimated to have risen 8.3% from a year earlier, down from the 8.5% pace recorded in July but faster than the Wall Street consensus forecast of 8.1%.The report, however, also increased bets that the Fed would raise a full percentage point, or 100 basis points.\"Today’sCPIreport confirms that the US has a serious inflation problem,\" commented former Treasury Secretary Larry Summers on Twitter, He's one observer who says the Fed must go even faster in its monetary tightening.\"It has seemed self evident to me for some time now that a 75 basis points move in September is appropriate. And, if I had to choose between 100 basis points in September and 50 basis points, I would choose a 100 basis points move to reinforce credibility,\" Summers, who is president emeritus of Harvard University, added.A hike of 0.75 point or, worse, a full point will choke the economy and cause the nightmare scenario of deflation, says Elon Musk, chief executive of electric vehicle leader Tesla (TSLA). The billionaire thus suggests an increase of 0.25 percentage point.\"Drop 0.25%,\" Musk tweeted on Sept.14.The tycoon, who is also involved with three other companies -- SpaceX, Neuralink and Boring Co. -- made the suggestion after a Twitter user asked him what the Fed should do as it balances between fighting inflation and avoiding catastrophe for the economy.Early Signs of Deflation?It all started with a tweet from Ark Investment Management's Cathie Wood warning of early signs of deflation. The prices of many raw materials have recently fallen sharply, the star financier noted.\"Deflation in the pipeline, \" Wood warned. \"Heading for thePPI, CPI, PCE Deflator: from post-COVID price peaks, lumber -60%, copper -35%, oil -35%, iron ore -60%, DRAM -46%, corn -17%, Baltic freight rates -79%, gold -17%, and silver -39%.\"\"Exactly, this is neither subtle nor secret,\" Musk commented.\"What should the fed do?\" asked a Twitter user.This is the second time in less than a week that Musk has warned against a jumbo interest rate hike by the Fed.On Sept. 9, the influential CEO, who has nearly 106 million followers on the social network Twitter, had warnedthat if the central bank raised its rates by 75 basis points, the move would provoke deflation, which means most goods and services would become ridiculously cheap.\"A major Fed rate hike risks deflation,\" the billionaire said.Basically, Tesla's CEO is saying the Fed is going too far, too fast and must slow down.Deflation is the opposite of inflation. It is characterized by a continuous fall in the general level of prices. It can encourage households to postpone their purchasing decisions as they wait for further price declines, economists say. The consequences can be devastating as overall consumption slumps. Then, companies that can no longer sell their products reduce production and investment.Above all, deflation can cause borrowers' financial situation to deteriorate. That's because the real, or inflation-adjusted, cost of debt increases because loan repayments generally aren't indexed to inflation. So companies are less able to invest and households are less able to buy necessities and consume.Instances of deflation are rare in rich countries. Just two incidences of deflation have occurred in the past century: the 1930s, which affected the U.S. and then Europe, and the Japanese economy at the end of the 1990s.","news_type":1},"isVote":1,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"tweetType":1,"langContent":"EN"}],"isCommentEnd":false,"newsSizeData":{"likeSize":501,"commentSize":49,"repostSize":0,"favoriteSize":1,"likeStatus":false,"favoriteStatus":false},"APP":{"userAgent":"Mozilla/5.0 AppleWebKit/537.36 (KHTML, like Gecko; compatible; ClaudeBot/1.0; +claudebot@anthropic.com)","isDev":false,"isTTM":true,"deviceId":"web-server-community-laohu8-v3","version":"4.29.3","shortVersion":"4.29.3","platform":"web","vendor":"web","appName":"ttm","isIOS":false,"isAndroid":false,"isTiger":false,"isTHS":false,"isWeiXin":false,"isWeiXinMini":false,"isWeiBo":false,"isQQ":false,"isBaiduSwan":false,"isBaiduBox":false,"isDingTalk":false,"isToutiao":false,"isOnePlus":false,"isHuaWei":false,"isXiaomi":false,"isXiaomiWebView":false,"isOppo":false,"isVivo":false,"isSamsung":false,"isMobile":false},"href":"/m/news/1180934509"}