FOMC geniuses

I sorry, but to read a headline like "Consumer spending softer than expected" just makes me laugh.

I literally don't know anyone who's doing "well". I know a lot of people and I've seen a lot of people's finances. I can tell you that no one is doing well. Maybe I'm reading into just a headline too much but I think it's so... almost insulting, either to us as people or to them as financial soothsayers.

1) What gave them the impression that we where doing well. More than that I wonder what level did they think we were going to come in at, as far as spending?

2) Or are we so broke that no matter what guess they could have had, we where lower?

I was having a discussion with a long time friend and client. He put it perfectly. All the people on the news or business channels or papers can only explain what happened. If the market goes up or down, they come in at night and say "Well it was because of this or that". None of them really know anything of use, like what will happen. Or at least they won't stick their neck out and give an educated guess.

It got me thinking. I'm no brilliant person but at least I read the FACTS and talk to the average person and can sit back and take an educated guess on what will happen. No one kills me if I'm wrong or throws me a party if I'm right. It's because if I told you rates where going to go up tomorrow, I'd back that up with what I believe are facts or guides. If I was right or wrong, I tried my best. It seems so many people base trillions of dollars and transactions on what the fed says or thinks. So you've got people reacting to other people's guesses (who never leave their desks or are surrounded by other rich people).

The market tanked today because the FOMC said consumer spending wasn't what they thought it would be. I could have told you that and have been for months. Why, today, would that seem to make the market drop. We all know that we're in hard times so this should have been a gradual decline, not just a one day selloff. But I guess if they new what was going to happen tomorrow, they wouldn't tell us anyway and they'd be rich.